Which Error Occurs When Managers Allow Initial Impressions, Statistics, or Estimates

question 1

Multiple Choice

Which error occurs when managers allow initial impressions, statistics, or estimates to control or excessively influence subsequent thoughts and decisions? 

• A)Confirmation bias
• B)Fundamental attribution error
• C)Anchoring bias
• D)Self-serving bias
• E)Sunk cost effect

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Definitions:

Investment Center

A business unit within a company that is responsible for generating its own revenue and profits, and it is evaluated based on its return on investment.

Activity-Based Costing

A costing methodology that assigns costs to products or services based on the activities required to produce them, aiming to more accurately reflect the consumption of resources.