Some people buy homes that become "money pits." The property always needs expensive repairs. Even if they receive a purchase offer, the house has cost them so much that they don't want to take a loss on it. So they stay
What distorted financial decision making is at work here?
A) generalizing from too small a sample
B) refusing to close off any options
C) throwing good money after bad
D) using only readily available information
E) following information that confirms their point of view
Answer: C
Explanation: C) Clearly the home is a bad investment that will keep costing the owners money. Selling the money pit may produce a short-term loss, but continuing to spend money on a deficient property will further compound the financial losses.
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a. is the document format used to produce Web pages. b. controls Web browsers that access the Web. c. is used to connect to Usenet groups on the Internet d. is used to transfer text files, programs, spreadsheets, and databases across the Internet. e. is a low-level encryption scheme used to secure transmissions in higher-level () format.
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Indicate whether the statement is true or false
The law establishes a test for determining whether a partnership has been formed. The test includes which of the following?
a. An association of two or more persons. b. Conducting a business not necessarily for profit. c. That the partnership agreement is filed with the Secretary of State. d. The sharing of gross returns.
What is the least likely way that a leader could improve team effectiveness?
A. putting subtle pressure on dissenting members of the team to ensure concept cohesiveness B. ensuring that the team has a clear sense of purpose and performance expectations C. providing coaching while the team is performing its task D. designing input-stage variables at the individual, organizational, and team design levels