Ensuring That the Person Who Makes the Decision Is Different

question 135

Multiple Choice

Ensuring that the person who makes the decision is different from the person who evaluates that decision is recommended mainly to:

• A)minimize escalation of commitment.
• B)avoid making decisions in the future.
• C)increase the incidence of an implicit favourite.
• D)minimize reliance on an implicit favourite.
• E)increase the incidence of satisficing.

---

Definitions:

Known Current Liabilities

Short-term financial obligations that are recognized and recorded, expected to be settled within one year or within the normal operating cycle.

Liabilities

Financial obligations or debts that a company owes to others, which must be settled over time through the transfer of economic benefits including money, goods, or services.

Contingent Liabilities

Contingent liabilities are potential liabilities that may occur depending on the outcome of a future event.

Account

A record in bookkeeping that tracks financial transactions of a specific type, such as assets, liabilities, expenses, or revenue.