Question

Which of the following is true about factors that adversely influence the accuracy of an entrepreneur's risk perceptions?

A) An entrepreneur's belief in the law of small numbers increases the risk he or she perceives with an opportunity.

B) Because individuals are more likely to obtain good information and less likely to obtain bad information, small samples of information are likely biased negatively.

C) Most entrepreneurs have access to large databases.

D) The control that an entrepreneur feels with respect to the opportunity's outcome may influence perceptions of the idea's risk.

E) Law of small numbers and the illusion of control positively influence the accuracy of risk perceptions when evaluating opportunities.

Answer

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