All of the Following Are True of Overconfident CEOs EXCEPT

question 48

Multiple Choice

All of the following are true of overconfident CEOs EXCEPT

• A) overconfident CEOs tend to charge ahead with mergers and acquisitions even though they are aware that most acquisitions destroy shareholder value.
• B) overconfident CEOs view their company as undervalued by outside investors.
• C) overconfident CEOs are more likely to do deals that diversify their firm's lines of businesses.
• D) the overconfidence of CEOs may lead to hubris.
• E) overconfident CEOs were less likely to make an acquisition when they could avoid selling new stock to finance them.

---

Definitions:

Confidence Interval

A confidence interval is a range of values, derived from sample data, that is likely to contain the value of an unknown population parameter, with a specified level of confidence.

Mean Blood Pressure

The average arterial pressure throughout one cardiac cycle, serving as an important indicator of cardiovascular health.

Treatment Group

In an experimental study, this group receives the intervention or treatment being tested to assess its effects.

Control Group

In experimental research, a group of subjects that does not receive the treatment being tested, used as a benchmark to measure the effects of the treatment on another group.