Groups Sometimes Make Bad Decisions Because Members Engage in Consensus

question 135

Multiple Choice

Groups sometimes make bad decisions because members engage in consensus seeking and simply reinforce one another's opinions, rather than questioning or disagreeing. This is known as:

• A) communication accommodation theory
• B) groupthink
• C) group locomotion hypothesis
• D) social impact theory

Comprehend the concept and analytical use of Lorenz curves in illustrating income distribution.

Analyze the trends in poverty rates over specific historical periods.

Recognize the ideological differences between conservatives and liberals regarding the causes and solutions to poverty.

Grasp the significance of income shares across different segments of the population.

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Definitions:

Permanent/Temporary

Describes assets or accounts within financial contexts; permanent assets or accounts are long-term and not expected to be converted into cash within a year, while temporary accounts track revenues, expenses, and dividends and are closed at the end of the fiscal year.

Periodic Inventory System

An inventory accounting system where updates to inventory levels are made on a periodical basis rather than transaction by transaction.

Net Method

An accounting practice where purchase discounts are recorded immediately by reducing the price of the goods bought, assuming the discount will be taken.

Journal Entries

The records of financial transactions in the accounting system, documented in chronological order.