Rannilt Was Euphoric After Learning That She Had Been Accepted

question 66

Multiple Choice

Rannilt was euphoric after learning that she had been accepted by the medical school of her choice.After a few weeks,however,she is only mildly happy when she thinks about her admission to medical school.This change in her feelings can best be explained in terms of

• A) the catharsis hypothesis.
• B) relative deprivation.
• C) the feel-good,do-good phenomenon.
• D) the adaptation-level phenomenon.

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Definitions:

Sensitivity Analysis

A technique used to determine how different values of an independent variable will impact a particular dependent variable under a given set of assumptions.

Net Present Value

A method used in capital budgeting to evaluate the profitability of an investment or project, calculated by subtracting the present value of cash outflows from the present value of cash inflows.

Sales Forecast

An estimate of the amount of sales that a company expects to achieve in a certain period.

Discount Rate

The interest rate used to discount future cash flow to its present value, reflecting the time value of money and risk of the cash flow.