DrPuffer Has Conducted a Correlational Study and Reported That Smoking

question 135

Multiple Choice

Dr.Puffer has conducted a correlational study and reported that smoking causes depression.He has failed to consider that both smoking and depression could be caused by some other variable,such as temperament or stress.This scenario reflects what problem within the correlation-causation fallacy?

• A)Bidirectionality of variables
• B)Third variable problem
• C)Confirmation bias
• D)Risky predictions

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Definitions:

Straight-line Amortization

A method of evenly spreading the cost of an intangible asset over its useful life for accounting and tax purposes.

Unamortized Premium

The portion of the premium paid over the par value of bonds that has not yet been amortized or written off over the life of the bond.

Bonds Payable

A liability account that records the amounts a company owes to bondholders by the bond's maturity date.

Carrying Amount

The value of an asset or liability according to a company's balance sheet, factoring in depreciation or amortization.