Michael, 15, Was Just Dumped by His Girlfriend, Lisa

question 126

Multiple Choice

Michael, 15, was just dumped by his girlfriend, Lisa. Michael's dad told him that he knows how he feels, but that in time he will feel better. Michael is convinced that his dad does not know how it feels to be dumped by a girlfriend and that his dad does not know what he is talking about. Which of the following terms best describes Michael's beliefs?

• A) adolescent egocentrism
• B) imaginary audience
• C) personal fable
• D) illusion of invulnerability

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Definitions:

Repriced Option

An adjusted stock option whose original terms have been modified, typically to reset the option's exercise price.

Share-based Payment

Transactions in which an entity receives goods or services as consideration for its equity instruments or by incurring liabilities for amounts based on the price of the entity's shares.

AASB 2

The Australian Accounting Standards Board standard that specifies the financial reporting requirements for entities dealing with share-based payment transactions.

Incremental Fair Value

The additional value that is estimated to arise from a particular transaction or event over the current fair value of an asset or liability.