Your Company Is Doing Well and You Tell Your Sister

question 25

Multiple Choice

Your company is doing well and you tell your sister that the company will report earnings that are significantly higher than the financial analysts' estimated. Which IMA guideline has been violated?

• A) Objectivity
• B) Competence
• C) Confidentiality
• D) Integrity

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Definitions:

Conformity Pressures

The pressure applied by a group that motivates individuals to modify their attitudes, values, or actions to conform with the norms of the group.

Polarization Theory

A theory suggesting that groups tend to make decisions that are more extreme than the initial inclination of its members.

Risky Shift Theory

suggests that people in groups tend to make riskier decisions compared to when making decisions alone due to diffused responsibility.

Prediscussion Judgments

Initial opinions and decisions held by individuals before engaging in a group discussion, which can influence the group's final decision-making process.