Choice "C" is correct. The manager’s belief that they are generally correct is overconfidence.
Choice "b" is incorrect. The manager’s belief that results will generally be positive is excessive optimism.
Choice "a" is incorrect. Confirmation bias is when managers use data that confirms their conclusions and ignores data that challenges their ideas.
Choice "d" is incorrect. The erroneous belief that the financial manager has control over valuation outcomes that are really the result of market forces.
