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Class BUS 231 Da Name: Test Chapters 4.5 and 6 19. The four positions on the pos

ID: 428111 • Letter: C

Question

Class BUS 231 Da Name: Test Chapters 4.5 and 6 19. The four positions on the possibility of failure scale include certainty, risk, ambiguity, and a. uncertainty b. conflict c. necessity d. indecision e. possibility 20. Which of these assumptions are included in the classical model of decision making? a. Problems are unstructured and ill defined. b. The decision-maker strives for conditions of certainty. c. Criteria for evaluating alternatives are unknown. d. The decision-maker selects the alternatives that will minimize the economic return to the organization. e. The situation is always uncertain.

Explanation / Answer

Ans 19)

The correct answer is option a. The four positions on the possibility of failure scale are certainty, risk, ambiguity and uncertainty.

Ans 20)

The correct answer is option b. The assumption that the decision maker strives for conditions of certainty is included in the classical model of decision making that helps managers to make the correct decisions when faced with different situations.