Question

1. Match the concepts with the behavior.

1.	Availability heuristics	Investing in the stocks that comes to mind the first
2.	Mental accounting	Especially male investors trade excessively.
3.	Disposition effect	Selling winner stock too early keep losers too long.
4.	Overconfidence	Investing in stocks which leads to profit recently.
5.	Representativeness	Selling losers at once while winners step by step

Answer 1

1. (A) availability heuristic is investing in the the stocks that will come to the mind first because it is related to doing those things which are immediately reflected in the brain

2. (D) mental accounting is a behavioral bias which will be leading to investing in stocks which led to the profit recently.

3.(C) disposition effect means selling of the winner stock and reluctance on the selling of the losing stock so it is called disposition effect.

4(E) overconfidence means selling the losers at once and winners step by step as they believe that winners will be making higher rate of return and they will be reflecting the over confidence of the part of the investor

5.(B) representativeness is reflection on the part of the group and it can be exampled when the male traders are trading aggressively