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Nature and Definition of Decision Making

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

Which step of the decision-making process comes first when facing a new situation?

a)

Recognizing and defining the situation

b)

Choosing the most effective alternative

c)

Identifying several possible alternatives

d)

Putting the choice into practice

2.

A student must decide between job offers. They list options, evaluate each, select one, and start work. Which step was missing at the beginning?

a)

Recognizing and defining the decision

b)

Choosing the most effective option

c)

Implementing the final decision

d)

Optimizing for profits and sales

3.

You manage a clinic facing two tasks: reorder bandages monthly and decide whether to buy an experimental imaging device. Which pairing of decision types is most appropriate?

a)

Reorder is nonprogrammed; device purchase is programmed

b)

Both are programmed; both are routine and frequent

c)

Reorder is programmed; device purchase is nonprogrammed

d)

Both are nonprogrammed; both are novel and complex

4.

In the diagram showing a spectrum from uncertainty to absolute certainty, which statement best matches the left end labeled “Uncertainty”?

a)

Probabilities and expected outcomes are unknown

b)

Probabilities and expected outcomes are partly known

c)

Probabilities and expected outcomes are fully known

d)

Probabilities are known but outcomes are always fixed

5.

Which assumption best defines the Classical Decision-Making Model?

a)

Managers possess complete information always

b)

Managers rely on intuition frequently

c)

Managers accept uncertainty as normal

d)

Managers use limited data intentionally

6.

A government builds a budget as if inflation and growth are perfectly predictable. Which model is being used?

a)

Classical Decision Model

b)

Incremental Change Model

c)

Bounded Awareness Model

d)

Heuristic Shortcut Model

7.

Which constraints are explicitly part of the Rational model?

a)

Limited time and resources

b)

Unlimited time and data

c)

Infinite options and certainty

d)

Eliminated bias and judgment

8.

Universities planning semesters during and after a pandemic face many unknowns. What does this indicate about the decision context?

a)

Uncertainty reduces perfect rationality

b)

Certainty guarantees optimal outcomes

c)

Predictability simplifies all planning

d)

Complete information is readily available

9.

What is escalation of commitment in decision making?

a)

Continuing a decision despite clear negative evidence

b)

Reversing a decision after the first small loss

c)

Pausing a decision to gather broader stakeholder input

d)

Delegating a decision to reduce personal exposure

10.

How can organizational culture influence risk propensity?

a)

By rewarding calculated experimentation and learning

b)

By eliminating variance through strict protocols

c)

By forbidding all deviations from past practice

d)

By prioritizing hierarchy over transparent debate