What Term Is Used for the Tendency to Underestimate the Influence

question 93

Multiple Choice

What term is used for the tendency to underestimate the influence of external factors and overestimate the influence of internal factors when making judgments about the behavior of others?

• A) fundamental attribution error
• B) self-serving bias
• C) selective perception
• D) consistency
• E) actor bias

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Definitions:

Return on Investment

A financial metric used to evaluate the efficiency or profitability of an investment, calculated as a percentage of the investment's return relative to its cost.

Selling Price

The sum of money required for a product or service, which directly affects the income produced through sales.

Fixed Manufacturing Overhead

Fixed costs related to manufacturing that do not change with the level of production, such as factory rent and salaries of permanent staff.

Direct Labor

The wages and other compensation paid to employees who are directly involved in the production of goods and services.