Which of the Following Terms Best Represents the Tendency of People

question 16

Multiple Choice

Which of the following terms best represents the tendency of people to base their judgments on information that they can easily obtain?

• A) representative bias
• B) availability bias
• C) confirmation bias
• D) anchoring bias
• E) escalation of commitment

---

Definitions:

Overhead Volume Variance

The difference between the expected (or standard) amount of manufacturing overhead costs given a certain level of production and the actual overhead costs incurred.

Standard Direct Labor Cost

The predefined cost associated with the labor required to produce a good or service, under normal circumstances.

Payroll Taxes

Levies placed on both employers and employees, often determined as a portion of the wages that businesses provide to their workforce.

Hourly Wage Rate

The amount of money paid for each hour of work, commonly used to compensate hourly employees.