Exam 8: Decision Making and Problem Solving

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A person's beliefs about what constitutes right and wrong behavior are called

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Prospect theory argues that when people make decisions under conditions of certainty they are more motivated to avoid losses than they are to seek gains.

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Match the following: -bounded rationality

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Compare and contrast the classifications of programmed and nonprogrammed decisions. Give an example of each type of decision.

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Match the following: -programmed decisions

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What information condition lies between certainty and uncertainty in making decisions?

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______ are an individual's power to think intelligently and to analyze situations and data effectively.

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Decision making is

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Answers to unique questions or issues are identified during problem solving required in nonprogrammed decisions.

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Roger purchases stock in a public company and he refuses to sell it even after repeated drops in the original price he paid for the stock. Jim has decided to purchase more of the stock in anticipation of making a profit, and has decided to keep the stock in the face of increasing losses. Roger is suffering from

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In practice, decision makers use rational approach to make the tough day-to-day decisions.

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A nonprogrammed decision usually recurs often enough for decision rules to be developed.

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Ethical dilemmas for managers may center on all of the following EXCEPT:

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______ decisions generally require the decision maker to exercise judgment and creativity.

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As a CEO of Toddle Toys, Inc. (TTI), RaShaya's recent decision about which company her conglomerate TTI was to buy can be considered a programmed decision.

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The behavioral model focuses on human behaviors and tendencies when evaluating the decision-making process.

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Managers who are cautious and try to adhere to the rational decision-making model

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In situations where the information condition is _______, the decision maker knows all outcomes and makes the decision on the basis of the highest payoff.

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________ is knowingly accepting less than the best possible outcome.

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The decision-making conditions of certainty, uncertainty, and risk are relevant while the decision maker is

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