The Tendency to Escalate Commitment Is More Pronounced When

question 4

Multiple Choice

The tendency to escalate commitment is more pronounced when:

• A)The commitment is to a failed decision made by oneself.
• B)The failure of the initial commitment can be explained with a causal,unrelated account.
• C)The escalation is made by an individual,compared with escalation made by a group.
• D)All of the above.

---

Definitions:

Adjusting Entries

Journal entries made at the end of an accounting period to allocate income and expenditure to the correct accounting periods, ensuring the financial statements are in accordance with the accrual basis of accounting.

Annual Accounting Period

A 12-month timeframe over which a company measures its financial performance and prepares financial statements.

Chart of Accounts

A structured list of all the financial accounts in the general ledger of a company, organizing financial transactions during an accounting period.

Adjusting Entries

Journal entries made at the end of an accounting period to allocate income and expenditure to the correct period.