This paper aims at evaluating decision making in accounting using Simplex Method approach. It aims at using the simplex Method to solve some accounting problems in order to get optimum allocation of Scarce resources to competing activities under the assumptions of certainty, linearity and...

We document outcome bias in situations where an agent makes risky financial decisions for a principal. In three experiments, we show that the principal’s evaluations and financial rewards for the agent are strongly affected by the random outcome of the risky investment. This happens despite...