Escalation of Commitment Is More Likely to Occur When

question 35

Multiple Choice

Escalation of commitment is more likely to occur when

• A)the costs of ending the project are high or unknown.
• B)the decision maker screens out negative information about the decision due to perceptual defence.
• C)the decision maker has a strong need to justify their decision.
• D)The decision maker dislikes losing a particular amount more than he/she likes gaining the same amount.
• E)all of these conditions exist.

---

Definitions:

Implementation Guide

A document providing detailed instructions for the application or execution of a plan, policy, or new system.

GAAP

Generally Accepted Accounting Principles are a set of rules and standards for financial accounting that companies in the U.S. must adhere to.

Managerial

Pertaining to the activities, responsibilities, and skills of managers in an organization, focusing on effective planning, organizing, leading, and controlling.

Financial Accounting

The field of accounting focused on the summary, analysis, and reporting of financial transactions pertaining to a business.