Which of the Following Is an Example of a "Cohort

question 144

Multiple Choice

Which of the following is an example of a "cohort effect"?

• A) the Flynn effect: increasing IQ scores over generations
• B) the von Restorff effect: tendency to remember unusual or distinctive items
• C) framing effect: tendency to answer a question differently when it is phrased differently
• D) mere exposure effect: tendency to increase our liking for anything or anyone that has become familiar

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Definitions:

Historical Cost

Historical cost refers to the original monetary value of an asset or expenditure recorded at the time of transaction, without adjusting for inflation or changes in market value.

Fair Value Measurements

An accounting standard for estimating the price at which an asset or liability could be exchanged in an orderly transaction between market participants at the measurement date.

Mark-to-Model

An accounting practice where the price or value of an asset is determined based on a financial model instead of current market prices.

Fair Value Accounting

An accounting approach where assets and liabilities are recorded at their current market value, rather than their historical cost.