A company has a policy that allows certain staff to approve refunds up to a fixed amount without supervisor approval.

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Policy sets broad rules and who has authority within an organization. The statement specifies who can approve refunds and the maximum amount they can approve without supervisor involvement, which is a general rule guiding behavior and decision rights. That kind of overarching guideline is what a policy provides, creating consistency and preventing ad-hoc decisions. A procedure would describe the exact steps to process a refund, which this item does not specify. A program would be a coordinated set of activities toward a larger goal, not just an authorization rule. A heuristic is a quick mental shortcut used to speed up decision making, which this is not. So the scenario exemplifies a policy.