Chapter 6 - TB

Chapter 6 - TB - True/False Questions Managers make...

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True/False Questions 1 . Managers make decisions whenever they are engaged in planning, organizing, leading, and controlling activities . Answer: True Page: 219 Difficulty: Easy Learning Objective: 1 2 . A routine decision is called a nonprogrammed decision . Answer: False Page: 220 Difficulty: Easy Learning Objective: 1 3 . Most day-to-day decisions in business are nonprogrammed decisions . Answer: False Page: 221 Difficulty: Moderate Learning Objective: 1 4 . Nonprogrammed decision making is required for routine decisions . Answer: False Page: 221 Difficulty: Moderate Learning Objective: 1 5 . A manager who makes a decision based on his or her judgment is using a less rational process than a manager who makes a decision using his or her intuition . Answer: False Page: 221 Difficulty: Moderate Learning Objective: 1 6 . The likelihood of a manager making an error in judgment is much greater in programmed decision making than in nonprogrammed decision making . Answer: False Page: 221 Difficulty: Moderate Learning Objective: 1 7 . The classical decision making model is prescriptive in the sense that it specifies how decisions should be made . Answer: True Page: 221 Difficulty: Easy Learning Objective: 1 8 . The classical decision making model assumes that managers have all of the information they need in order to make the optimum decision . Answer: True Page: 222 Difficulty: Easy Learning Objective: 1 9 . March and Simon's Administrative Model is consistent with the classical model of decision making . Answer: False Page: 222 Difficulty: Easy Learning Objective: 1
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10 . According to the Administrative Model, managers can never have complete information when they are trying to make a nonprogrammed decision because the complete range of decision-making alternatives is unknowable . Answer: True Page: 223 Difficulty: Easy Learning Objective: 1 11 . When managers know the possible outcomes of a decision and can assign probabilities to each of these outcomes in terms of their likelihood of occurrence, a situation called risk occurs . Answer: True Page: 223 Difficulty: Easy Learning Objective: 1 12 . When the outcomes of decision alternatives are known and their probabilities can be determined, a situation of uncertainty exists . Answer: False Page: 223 Difficulty: Moderate Learning Objective: 1 13 . When a manager chooses an acceptable alternative instead of the optimum alternative, we say that a satisficing decision has occurred . Answer: True Page: 225 Difficulty: Easy Learning Objective: 1 14 . According to March and Simon, managerial decision making, especially when nonprogrammed decisions are involved, is frequently more of a science than an art . Answer: False Page: 225 Difficulty: Moderate Learning Objective: 1 15 . Managers can be reactive, but not proactive, in recognizing the need for a decision . Answer: False
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Chapter 6 - TB - True/False Questions Managers make...

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