In the classical model of decision making, managers

A. use satisficing to select the optimum solution.
B. create heuristics to simplify the process.
C. use intuition to select the most satisfactory solution.
D. identify and evaluate all possible alternatives before choosing a course of action.
E. apply representativeness bias to identify alternatives.


Answer: D

Business

You might also like to view...

Widgeon Co manufactures three products: Bales; Tales; and Wales. The selling prices are: $55; $78; and $32, respectively. The variable costs for each product are: $20; $50; and $15, respectively. Each product must go through the same processing in a machine that is limited to 2,000 hours per month. Bales take 7 hours to process, Tales take 4 hours, and Wales take 1 hour. Assuming that Widgeon

produced enough product with the highest contribution margin per unit to use 1,000 hours of machine time. Product demand does not warrant any more production of that product. What is the maximum additional contribution margin that can be realized by utilizing the remaining 1,000 hours on the product with the second highest contribution margin per hour? A) $5,000 B) $7,000 C) $4,000 D) $28,000

Business

MedProf Insurance markets medical malpractice insurance. The company's combined ratio in 2015 was 95.4. Its expense ratio was 25.4. What was the company's loss ratio?

A) 60.4 B) 70.0 C) 88.2 D) 120.8

Business

Analysis showed that ________ was related to the presence of arteriosclerosis more than any other Type A Behavior Pattern dimension.

A. impatience B. hostility C. ambition D. work orientation

Business

Which of the following is an example of a relational return?

A. Employment security B. Income protection C. A long-term incentive D. A short-term incentive

Business