BUS 31.4 Review Quiz 1 - Copy

# BUS 31.4 Review Quiz 1 - Copy - Realize when to use...

This preview shows page 1. Sign up to view the full content.

CIS 10.31 / BUS 31.4 Review S. Neuburger Chapter 1 - Introduction Key Terms: Break-Even Point Quantitative vs. Qualitative Analysis Deterministic vs. Stochastic/Probabilistic Model Frederick Taylor Frank Gilbreth You should know how to: Calculate profits based on selling price per unit, fixed costs and variable costs. Calculate break-even point based on selling price per unit, fixed costs and variable costs. Chapter 2 – Review of Probability Concepts Key Terms: Probability Event Dependent vs. Independent events Conditional Probability Mutually Exclusive events Collectively Exhaustive events Expected Value You should know how to: Calculate probability of simple events Differentiate between rule of addition for mutually exclusive and not mutually exclusive events Recognize when events are independent
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Realize when to use conditional probability Identify events that are mutually exclusive Identify events that are collectively exhaustive Calculate conditional probability Calculate probability for data that follows a Binomial distribution Calculate probability for data that follows a Normal distribution Chapter 3 – Decision Theory Key Terms: Alternative State of Nature Regret Utility You should know how to: Derive probability loss (regret) matrix from payoff table Set up decision tree to represent sequence of decisions Choose optimal action based on the following criteria: o Maximax profit o Maximin profit o Minimax regret o Equally likely (Laplace) o Criterion of Realism (Hurwicz) o Max EMV / Min EOL o Max Expected Utility...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online