A Major Criticism of Standard Rating Scales Is That

question 36

Multiple Choice

A major criticism of standard rating scales is that:

• A)raters have different definitions of scale levels.
• B)raters find them hard to use.
• C)they are expensive to develop.
• D)they encourage halo and horns errors.

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Definitions:

Corporations

Entities recognized by law as separate from their owners, with the ability to own assets, incur liabilities, and engage in business activities.

Debt Securities

Financial instruments representing money borrowed by the issuer that must be repaid, such as bonds, notes, and bills.

Interest Rates

The percentage of a sum of money charged for its use, typically expressed as an annual percentage.

Capital

Financial assets or resources that individuals or companies use to fund their business operations and investments.