Fatal Automobile Accidents Occur Much More Frequently Than Do Fatal

question 34

Multiple Choice

Fatal automobile accidents occur much more frequently than do fatal airplane crashes,yet airplane crashes receive a disproportionate amount of media coverage.As a result,some people are overly fearful of flying in planes yet have no problem riding in cars.Which of the following cognitive biases best explains this disconnect between these people's fears and the statistical realities?

• A) Overconfidence effect.
• B) Availability heuristic.
• C) Self-serving bias.
• D) Confirmation bias.

---

Definitions:

General Ledger

A comprehensive record of all financial transactions that occur within a company, serving as the primary source for preparing financial statements.

Journal

A detailed record where all financial transactions of a business are initially recorded before being transferred to accounts in the general ledger.

Income Statement Columns

The structure within an income statement that divides financial information into columns, typically including amounts for the current period, budgeted figures, and variances.

Net Income

The net profit of a company calculated after expenses and tax deductions from its total revenue.