Two-Year-Old Max Sees a Rabbit and Calls It a "Bunny

question 103

Multiple Choice

Two-year-old Max sees a rabbit and calls it a "bunny." He then sees a large white hamster and calls it a "bunny," too. In this scenario, the application of a word to objects that are inappropriate for the word's meaning is referred to as

• A) deferred imitation.
• B) underextension.
• C) infantile amnesia.
• D) overextension.

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Definitions:

Equity Section

The portion of a company’s balance sheet that represents the owners' or shareholders' interest in the company.

Equity Method Investments

Accounting technique used by a company to record its investment in another company when it has significant influence but does not have a majority control.

Cash Dividends

Payments made by a corporation to its shareholders from earnings, typically on a quarterly basis, in the form of cash.

Available-for-sale Debt Investment

Debt securities not classified as held-to-maturity or trading securities, and can be sold in the short-term for liquidity purposes.