The Process We Use to Notice Important Stimuli and Ignore

question 153

Multiple Choice

The process we use to notice important stimuli and ignore irrelevant ones is ________.

• A) encoding
• B) attention
• C) masking
• D) chunking

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Definitions:

Signaling Effect

The phenomenon where actions by a company provide clues or signals to the market about its potential performance or financial health.

Dividend Policy

A company's stance on distributing earnings back to shareholders through dividends, including considerations on the timing and amount of those dividends.

Stock Price

The cost of purchasing a share of a company in the stock market, reflecting the company's current market value.

Shareholders

Individuals or entities that own shares in a corporation, giving them a claim on part of the company's assets and earnings.