____ occurs when people's subjective confidence in their decision making is greater than their objective accuracy. For example, Sara thinks she is a superb writer and editor, but her reports are always filled with typos, grammatical errors, and sentence fragments.
A. Confidence bias
B. Overconfidence bias
C. Hindsight bias
D. Predisposition bias
E. The tunnel vision effect
B. Overconfidence bias
Overconfidence bias is the bias in which people's subjective confidence in their decision making is greater than their objective accuracy. For instance, with experienced investment advisers whose financial outcomes simply depended on luck, behavioral psychologist Daniel Kahneman found "the illusion of skill is not only an individual aberration; it is deeply ingrained in the culture of the industry."
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On December 31 . 2014, Behring Enterprises leased equipment from R & R Equipment Rental. Pertinent lease transaction data are as follows: • The estimated seven-year useful equipment life coincides with the lease term. • The first of the seven equal annual $300,000 lease payments was paid on December 31 . 2014. • R & R's implicit interest rate of 1 . percent is known to Behring. •
Behring's incremental borrowing rate is 1 . percent. • Present values of an annuity of 1 in advance for seven periods are 5.11 at 1 . percent and 4.89 at 1 . percent. Behring should record the equipment on the books at a. $2,100,000. b. $1,533,000. c. $1,467,000. d. $0.
A shareholder can transfer the right to vote to a second party, by means of an instrument known as _____.?
A. ?arbitrage B. ?allotment C. ?consortium D. ?rationing E. ?proxy
It is difficult for shareholders to have a voice in executive compensation
Indicate whether the statement is true or false
The cross-border flow of people migrating from one country to another is known as ________.
Fill in the blank(s) with the appropriate word(s).