Satisficing Occurs When Decision Makers

question 20

Multiple Choice

Satisficing occurs when decision makers:

• A) select the first alternative that comes along.
• B) select a good alternative instead of continuing to search for the optimal choice.
• C) begin with a solution instead of a problem.
• D) select a few alternatives that differ only slightly from the status quo.

---

Definitions:

Bond Ratings

Assessments assigned by rating agencies indicating the credit quality and risk level of bonds, with ratings ranging from high-grade (low risk) to high-yield (high risk).

No Par Value Stock

Shares issued without a nominal or face value, where the value of the stock is determined by the price investors are willing to pay for it in the market.

Stated Capital

The amount of capital reported by a company that represents the par value of the stock that has been issued and is often used in legal terms to determine how much capital the company can legally declare as dividends.

Revised Act

Refers to an updated or amended version of a law or statute.