Your company has entered into a five-year lease for a building for your business, but it now looks as if it will cost up to half a million dollars to bring the facility up to code and to your operating standarda Rather than attempting to break the lease and find a better location, the facilities committee is focusing on trying to salvage this deal, even though it looks like a bad decision. Which is the MOST LIKELY behavioral aspect you are facing? OA. Risk propensity OB. Programmed decision making OC. Poltical pressure OD. Escalation of commitment OE Risk aversion
Your company has entered into a five-year lease for a building for your business, but it now looks as if it will cost up to half a million dollars to bring the facility up to code and to your operating standarda Rather than attempting to break the lease and find a better location, the facilities committee is focusing on trying to salvage this deal, even though it looks like a bad decision. Which is the MOST LIKELY behavioral aspect you are facing? OA. Risk propensity OB. Programmed decision making OC. Poltical pressure OD. Escalation of commitment OE Risk aversion
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Your company has entered into a five-year lease for a building for your business, but it now looks as if it will cost up to half a million dollars to bring the facility up to
code and to your operating standards Rather than attempting to break the loase and find a better location, the facilities committe is focusing on trying to salvage
this deal, even though it looks like a bad decision. Which is the MOST LIKELY behavioral aspect you are facing?
OA. Risk propensity
OB. Programmed decision making
OC. Political pressure
O D. Escalation of commitment
OE Risk aversion
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