The Recency Effect Is More Common When

question 87

Multiple Choice

The recency effect is more common when:

• A)making an evaluation involving complex information.
• B)the decision maker has considerable experience in that situation.
• C)the decision maker believes most employees are above average.
• D)evaluating someone who is easily identified with a visible demographic group.
• E)the decision maker has a strong learning orientation.

---

Definitions:

Bonds

Fixed income investment products that represent loans made by an investor to a borrower, typically corporate or governmental.

Effective Interest Method

A technique used in accounting for amortizing the cost of a bond premium or discount over the life of the bond in a way that results in a constant rate of interest over the period.

Issuance

The process by which a company offers new or existing securities for sale to investors, including stocks or bonds, to raise capital.