The Business Judgement Rule Is Designed to Protect

question 13

Multiple Choice

The business judgement rule is designed to protect

• A)only the manager.
• B)only the manager's decision.
• C)both the manager and the manager's decision.
• D)a business from a conflict of interest.

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Definitions:

Primacy Effect

Tendency to attend to the first pieces of information observed about another person in order to form an impression.

Halo Effect

Attributing a variety of positive qualities to those you like.

Horn Effect

Attributing a variety of negative qualities to those you dislike.

Recency Effect

Tendency to attend to the most recent information observed about another person in order to form or modify an impression.