________ Are Rules of Thumb or Mental Shortcuts in the Decision

question 53

Multiple Choice

________ are rules of thumb or mental shortcuts in the decision process.

• A) Attitudes
• B) Beliefs
• C) Heuristics
• D) Discriminations
• E) Biases

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Definitions:

Principal

The primary individual or entity involved in a transaction or contract, or a sum of money lent or invested on which interest is paid.

Actual Authority

The express and implied powers granted by a principal to an agent to enter into contracts or make decisions on behalf of the principal.

Apparent Authority

A doctrine in law where a principal leads a third party to believe that an agent has the authority to act on the principal's behalf, even if the agent doesn't have actual authority.

Agency Contract

A legal agreement wherein one party (the agent) agrees to act on behalf of another party (the principal) in a business transaction or other matter.