Compensation and Sublimation Are

question 63

Multiple Choice

Compensation and sublimation are

• A)the two types of rationalization.
• B)generally considered to be positive defense mechanisms.
• C)part of a natural tendency to justify one's behavior.
• D)maladaptive because they serve to maintain an unrealistic self-image.

Analyze and record transactions affecting the accounting equation.

Identify and classify accounts to be closed at the fiscal period end.

Prepare and understand the income statement and statement of stockholders' equity.

Calculate total operating expenses.

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Definitions:

Risk Aversion

A person's or entity's reluctance to take risks, preferring lower returns with known risks over higher returns with unknown risks.

Total Risk

The complete range of possible risks, including both systematic and unsystematic risks, that can affect the value of an investment.

Portfolio Returns

The gain or loss on an investment portfolio over a period of time, reflecting the overall performance of the investments.

Roll's Critique

A theoretical argument suggesting that it is impossible to create a truly diversified market portfolio due to the vast number of assets in existence.