The Conservatism Principle Requires That When More Than One Estimate

question 29

True/False

The conservatism principle requires that when more than one estimate of the amounts that are to be received or paid in the future exist and these estimates are about equally likely,then the less optimistic amount is used.

---

Definitions:

Bicultural Identity Model

A framework describing how individuals navigate and integrate two distinct cultural identities, balancing assimilation and separation.

Psychological Conflict

An inner struggle arising from opposing demands or impulses within an individual.

Identity Diffusion

A state in which an individual has not yet developed a clear and stable sense of identity or is experiencing uncertainty about personal values, beliefs, and goals.

Moratorium

A developmental stage or period of delay in which an individual postpones decisions, often related to identity exploration during adolescence.