Which one of the following statements is correct? a. the internal rate of return is the most reliable method of analysis for any type of investment decision. b. the payback method is biased towards short-term projects. c. the modified internal rate of return is most useful when projects are mutually exclusive. d. the average accounting return is the most difficult method of analysis to compute. e. the net present value method is only applicable if a project has conventional cash flows.

cognitive overload: having a lot on your mind impairs decision-making and tends to result in the simplest, but not necessarily best, option being selected.

empathy gaps: overlooking how you might feel in a different situation can result in unnecessary purchases, such as overbuying when shopping for food on an empty stomach.

optimism and overconfidence: wearing rose-tinted glasses and having unrealistic expectations about the future can affect money management and leave you unprepared for a change in circumstance.

instant gratification: seeking instant gratification drives impulsive spending and can undermine long-term planning and savings.

harmful habits: automatic or mindless behaviour can amplify a poor financial decision as it becomes a recurring event.

social norms: we are heavily influenced by the actions of others; while this can be in certain circumstances, it also contributes to the pressure to keep up with the joneses through conspicuous consumption.

match each type of restriction with one of its effects.

a. land-use laws

b. labor laws

c. banking regulations

a. controlled development of towns and cities

b. protection of young workers

c. greater financial stability

answer; niosh, the national institute for occupational safety and health;

answer; false pretense;