Information Overload Occurs When ________

question 12

Multiple Choice

Information overload occurs when ________.

• A) the interpretation of the message gets affected by the receiver's cultural background
• B) the information we have to work with exceeds our processing capacity
• C) a sender purposely manipulates information so the receiver will see it more favourably
• D) the information transmitted to the receiver is distorted by the communication channel
• E) the information sent by the sender does not reach the receiver

---

Definitions:

CAPM

The Capital Asset Pricing Model (CAPM) is a financial model that describes the relationship between systematic risk and expected return for assets, particularly stocks.

Expected Return

The weighted average of all possible returns for an investment, taking into account the likelihood of each outcome.

Unsystematic Risk

A type of risk that affects a specific company or industry, distinct from marketwide risks.

Portfolio Beta

An indicator of the level of fluctuation, or inherent risk, within an investment portfolio relative to the overall market.