Which of the Following Students Provides the Most Accurate Summary

question 65

Multiple Choice

Which of the following students provides the most accurate summary of Type 1 and Type 2 processing,in connection with reasoning and decision making?

• A)Rika: "In Type 1 processing,we make very careful judgments; in Type 2 processing,we don't really care about our accuracy."
• B)Joe: "Adults consistently use Type 1 processing; children and adolescents consistently use Type 2 processing."
• C)Heather: "Type 1 processing is used for reasoning; Type 2 processing is used for decision making."
• D)Frank: "Type 1 processing doesn't require much conscious attention; Type 2 processing is slow,and we need to pay close attention."

---

Definitions:

Stated Value

The amount per share assigned by the board of directors to no-par value stock.

Per Share Value

The financial value of a single share of a company's stock, representing a fraction of the corporation's assets and earnings per share.

Market Value

The prevailing market rate at which a service or asset is available for purchase or sale.

Paid-in Capital

The total amount of money investors have contributed to a company in exchange for shares of stock.