Which of the following does NOT describe a cause of management bias?
A) the need to comply with contracts, such as debt covenants
B) the desire to meet financial analysts' expectations
C) the tendency to downplay negative events
D) the desire for all stakeholders to have access to all information

Question

Quizplus · Accepted Answer

The desire for all stakeholders to have access to all information is not a cause of management bias, as it aligns with the principle of transparency and can actually help reduce bias. The other options, such as complying with contracts and meeting financial expectations, may lead to management bias by influencing decision-making in favor of certain stakeholders or outcomes. Similarly, downplaying negative events may lead to biased reporting and decision-making.

Which of the Following Does NOT Describe a Cause of Management