People View a Behavior as Correct in a Given Situation

question 44

Multiple Choice

People view a behavior as correct in a given situation to the degree that they see others performing it.Advertisers are aware of this and persuade people to buy their products by telling them not necessarily how good a product is,but how strongly others think so.This is an example of:

• A) social proof.
• B) scarcity.
• C) reciprocity.
• D) commitment.

Recognize the difference between void and voidable contracts.

Grasp the implications of mutual mistake and its effect on contract validity.

Understand the role of independent legal advice in preventing undue influence claims.

Comprehend the legal consequences of entering into a contract under duress.

---

Definitions:

Proprietorship

A business owned and operated by a single individual, where there is no legal distinction between the owner and the business entity.

Issuing Stock

The process by which a company distributes shares to investors in order to raise capital for business expansion or other financial needs.

Investment Projects

Initiatives undertaken by individuals, firms, or governments involving the allocation of resources with the expectation of future returns.

Interest Rate

The fraction of a total sum charged for borrowing it, often shown as a rate per year.