Which of the Following Statements About the Effects of Emotion

question 7

Multiple Choice

Which of the following statements about the effects of emotion on decision making is FALSE?

• A)People want to minimize regret.
• B)Bodily reactions ("gut feelings")powerfully influence estimates of risk.
• C)People usually assume the worst and are thus overly cautious.
• D)People are often bad at forecasting future emotions,and this undermines the quality of decision making.

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Definitions:

Time

A continuous sequence of events that occurs in an irreversible succession from the past, through the present, to the future.

Debt-to-Equity Ratio

A measure of a company's financial leverage, calculated by dividing its total liabilities by stockholders' equity.

Capital

Financial assets or the financial value of assets, such as cash and goods, used to fund a company's operations and growth.

Creditors

Individuals, businesses, or other entities that are owed money because they have provided goods, services, or loans to another entity.