Adul's Instructor Dresses Rather Casually and Shows Up to Class

question 63

Multiple Choice

Adul's instructor dresses rather casually and shows up to class with messy hair and glasses that have been taped together. Adul spends most of class playing on his phone because he assumes the instructor is as unintelligent and unprepared as he is unattractive. This example demonstrates _______.

• A) the halo effect
• B) physical attraction
• C) the horns effect
• D) social attractiveness

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Definitions:

Marginal Cost

The cost of producing one additional unit of a good or service.

Markup

The gap between the purchase expense of a good or service and the price at which it's sold, represented as a percentage of the buying price.

Concentration Ratios

Measures that indicate the degree of concentration in an industry, often used to assess competition levels.

Market Shares

The portion of a market controlled by a particular company or product, often expressed as a percentage of total sales in the industry.