Carol Anne Makes Candles

question 620

Multiple Choice

Carol Anne makes candles. If she charges $20 for each candle, her total revenue will be

• A)$1,000 if she sells 100 candles.
• B)$500 if she sells 25 candles.
• C)$20 regardless of how many candles she sells.
• D)$200 if she sells 5 candles.

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Definitions:

Fundamental Attribution Error

The tendency to overemphasize personality-based explanations for behaviors observed in others while underestimating the influence of situational factors.

Self-serving Bias

A common tendency to attribute one's successes to personal characteristics and failures to external factors.

Just-world Hypothesis

The cognitive bias that assumes that actions always yield morally fair and fitting consequences, essentially that the world is just.

Groupthink

A psychological phenomenon that occurs within a group of people when the desire for harmony or conformity in the group results in an irrational or dysfunctional decision-making outcome.