The Bus Is Fairly Crowded When You Get On

question 137

Multiple Choice

The bus is fairly crowded when you get on. You make a rapid evaluation and quickly decide to sit next to a well-dressed senior citizen because you think that it will be safer to sit next to him than some of the other people on the bus. This example illustrates:

• A) the effect of ethnocentrism.
• B) a typical response to the stereotype threat.
• C) the bystander effect.
• D) the process of person perception.

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Definitions:

Incremental Value

Incremental value is the additional value generated by a business from undertaking a specific project or action, compared to not doing it.

Outstanding Stock

Another term for outstanding shares; represents the total shares held by all shareholders, including shares held by institutional investors and company officials.

Equity-Financed

A form of business funding where funds are raised by issuing shares of the company, thus not incurring debt but rather exchanging ownership interests for capital.

Total Earnings

The sum of all earnings or income generated by an individual or organization within a specified period.