According to the Expectancy/disconfirmation Theory, When Performance Perceptions Exactly Match

question 55

Multiple Choice

According to the expectancy/disconfirmation theory, when performance perceptions exactly match what was expected, then _____ occurs.

• A) cognitive dissonance
• B) confirmatory bias
• C) confirmation
• D) dissatisfaction

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Definitions:

Convertible Bonds

Bonds eligible for conversion into a specific quantity of a company's stock at various points throughout their tenure, typically at the option of the holder.

GAAP

Generally Accepted Accounting Principles; refers to the framework of guidelines for financial accounting used in any given jurisdiction; commonly serves as the standard for financial reporting.

Compound Instruments

Financial instruments that contain both a liability and equity element, requiring separation for accounting purposes.

Liability

A financial obligation or debt owed by a company to another entity, payable in the future.