The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation

This study attempts to do three things. Firstly, it examines the Outcome Effect in evaluating variance investigations. Secondly, it tries to explain the Outcome Effect through the following cognitive links: ( 1) the outcome of an investigation will have an impact on the perceive...

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Main Authors: Chong, Boon Hwee, Goy, Siang Boon, Ong, Charles Hai Beng
Other Authors: Nanyang Business School
Format: Final Year Project
Language:English
Published: 2014
Subjects:
Online Access:http://hdl.handle.net/10356/58570
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Institution: Nanyang Technological University
Language: English
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spelling sg-ntu-dr.10356-585702023-05-19T05:45:01Z The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation Chong, Boon Hwee Goy, Siang Boon Ong, Charles Hai Beng Nanyang Business School Choo Teck Min DRNTU::Business This study attempts to do three things. Firstly, it examines the Outcome Effect in evaluating variance investigations. Secondly, it tries to explain the Outcome Effect through the following cognitive links: ( 1) the outcome of an investigation will have an impact on the perceived benefits of, the investigation, (2) investigation expenditure matched with perceived benefits are framed as costs while those without perceived benefits are framed as losses, and (3) a cost frame results in a higher performance rating compared to a loss frame. Thirdly, the study attempts to show the weakening effect that Anchoring and Adjustment may have on the Outcome Effect. The results failed to support the existence of the Outcome Effect and hence not surprisingly, the claim that a cost frame results in a higher performance rating was not supported too. On the other hand, it was found that there was partial support in the claim that the outcome affects the amount of benefits perceived and it was also concluded successfully that investigation expenditure matched with perceived benefits are framed as costs while those without perceived benefits are framed as losses. With regards to the study on the effect of Anchoring and Adjustment, the results fail to show the weakening effect that it should have on the Outcome Effect as theorized, but it should not be taken that Anchoring and Adjustment would have no weakening effect on the Outcome Effect as the successful proof of this effect is partly dependent upon of the Outcome Effect which was not demonstrated by this study. ACCOUNTANCY 2014-04-08T04:29:56Z 2014-04-08T04:29:56Z 1995 1995 Final Year Project (FYP) http://hdl.handle.net/10356/58570 en Nanyang Technological University 98 p. application/pdf
institution Nanyang Technological University
building NTU Library
continent Asia
country Singapore
Singapore
content_provider NTU Library
collection DR-NTU
language English
topic DRNTU::Business
spellingShingle DRNTU::Business
Chong, Boon Hwee
Goy, Siang Boon
Ong, Charles Hai Beng
The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
description This study attempts to do three things. Firstly, it examines the Outcome Effect in evaluating variance investigations. Secondly, it tries to explain the Outcome Effect through the following cognitive links: ( 1) the outcome of an investigation will have an impact on the perceived benefits of, the investigation, (2) investigation expenditure matched with perceived benefits are framed as costs while those without perceived benefits are framed as losses, and (3) a cost frame results in a higher performance rating compared to a loss frame. Thirdly, the study attempts to show the weakening effect that Anchoring and Adjustment may have on the Outcome Effect. The results failed to support the existence of the Outcome Effect and hence not surprisingly, the claim that a cost frame results in a higher performance rating was not supported too. On the other hand, it was found that there was partial support in the claim that the outcome affects the amount of benefits perceived and it was also concluded successfully that investigation expenditure matched with perceived benefits are framed as costs while those without perceived benefits are framed as losses. With regards to the study on the effect of Anchoring and Adjustment, the results fail to show the weakening effect that it should have on the Outcome Effect as theorized, but it should not be taken that Anchoring and Adjustment would have no weakening effect on the Outcome Effect as the successful proof of this effect is partly dependent upon of the Outcome Effect which was not demonstrated by this study.
author2 Nanyang Business School
author_facet Nanyang Business School
Chong, Boon Hwee
Goy, Siang Boon
Ong, Charles Hai Beng
format Final Year Project
author Chong, Boon Hwee
Goy, Siang Boon
Ong, Charles Hai Beng
author_sort Chong, Boon Hwee
title The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
title_short The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
title_full The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
title_fullStr The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
title_full_unstemmed The significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
title_sort significance of outcomes, mental accounting, framing and anchoring & adjustment on performance evaluation
publishDate 2014
url http://hdl.handle.net/10356/58570
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