Decision Makers Tend to Rely on Their Implicit Favourite When

question 159

Multiple Choice

Decision makers tend to rely on their implicit favourite when

• A)they are trying to determine the most appropriate decision style.
• B)they want to make more creative decisions.
• C)they don't have any alternatives to choose from, yet still want to make a decision.
• D)they evaluate decision alternatives.
• E)they want to avoid escalation of commitment.

---

Definitions:

Reportable Segment

A distinguishable component of an enterprise engaging in operations from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the entity's chief operating decision maker.

Operating Profit

The profit earned from a firm's core business operations, excluding deductions of interest and tax, as well as any non-operational income and expenses.

Loss

A financial situation where expenses exceed revenues.

Pension Expense

The total cost recognized by an employer for an accounting period regarding the company’s pension plan, comprising service costs, interest costs, plan amendments, and other factors.