Mort Approached the Chief Lending Officer at First Virginia Bank

question 221

Multiple Choice

Mort approached the chief lending officer at First Virginia Bank about obtaining a $75,000 loan. The banker said she would approve the loan provided that the funeral home's building was pledged as collateral. The banker was offering a(n)

• A) trade credit agreement.
• B) institutional loan.
• C) secured loan.
• D) revolving credit agreement.

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Definitions:

Just-World Hypothesis

According to Lerner and Miller, people need to believe that the world is a just place where they get what they deserve. As evidence of undeserved suffering undermines this belief, people may conclude that victims deserve their fate.

Normative Influence

An influence to conform to the positive expectation of others, to gain social approval or to avoid social disapproval.

Modelling Effect

The process by which individuals learn behaviors, norms, or attitudes by observing the actions of others, often significant in social learning theory.

Vicarious Learning Experience

Learning that occurs by observing the actions and consequences of others' behaviors rather than through direct experience.