When You Use the Representativeness Heuristic, You Are __________

question 193

Multiple Choice

When you use the representativeness heuristic, you are __________.

• A) making frequency estimates based on the ease with which things come to mind
• B) assuming that something is typical of its class
• C) mistaking visual images and other forms of mental representations for reality
• D) converting analogical representations into symbolic representations

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Definitions:

Financial Ratios

These are calculations that measure a company's financial performance by comparing two or more financial metrics from financial statements.

Ratios

Financial metrics that provide insights into the performance, financial health, and condition of a business by comparing two numeric values from its financial statements.

Financial Ratios

Quantitative measures derived from financial statements to evaluate a company's financial performance and health.

Comparative Analysis

The process of comparing two or more data sets, periods, or entities to determine their relative performance or characteristics.