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    Question

    A manager who uses anchoring bias to make decisions is guilty of doing which of the following?

    A The manager falsely believes that he predicted the result of a decision after knowing the outcome Correct Answer Incorrect Answer
    B The manager depends too greatly on one piece of information Correct Answer Incorrect Answer
    C The manager is not fair and balanced Correct Answer Incorrect Answer
    D The manager is overconfident because of past successes Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    Anchoring is a cognitive bias that describes the common human tendency to rely too heavily on the first piece of information offered (the "anchor'') when making decisions. During decision making, anchoring occurs when individuals use an initial piece of information to make subsequent judgments. This bias is the tendency to jump to conclusions.

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