An optimistic decision-making criterion is sometimes called: a. equally like criterion b. decision making under certainty c. maximin criterion d. maximax criterion
Q: (a) Using the Optimistic criterion, which alternative is best? (b) Using the Laplace criterion,…
A: Here, there are five alternatives, for each alternative, we have three states of nature, and each…
Q: A graph that helps decision makers use probability theory by showing the expected values of…
A: A. A body of techniques for comparing the results of possible deicison during a risk situation.…
Q: The management of Pearson Institute of Higher Education (PIHE) has decided to run a registration…
A: 1.2 Decision tree From the given data:
Q: A machine tool salesperson offers XY plant equipment that would increase their fixed cost by…
A: The data is given as follows: Fixed cost1= $300,000 and variable cost is $40 and selling price is…
Q: According to Roger Martin, which of the following is NOT a question that a strategy should answer?…
A: A strategy is a long-term action plan and a guiding tool to achieve organizational goals and…
Q: Joe runs the Service Department at a car dealership. The overall dealership has profit of $10…
A: Profit is defined as the reward which is awarded to an entrepreneur for bearing all the risks…
Q: The Marketing department of Luminus group holds five employees, one supervisor and one middle…
A: The managerial functions are planning, organizing, directing, staffing, coordinating, and…
Q: For a payoff matrix with m alternative actions, n states of nature, and no probabilities, which of…
A: This question is related to the topic-Decision Making and this topic falls under the operations…
Q: The maximin approach to decision-making refers to: a. choosing the alternative with the minimum…
A: The maximin approach to decision-making refers to. maximizing the minimum return. Only $2.99/month.…
Q: Managers are assumed to be rational; they make consistent and ____________ choices within specified…
A: Managers are assumed to be rational; they make consistent and ____________ choices within specified…
Q: Which type of the decision is also called important decision? A. Strategic& operational decisions B.…
A: The decision is also called important decision : The correct option is
Q: Given: Cost Effectiveness…
A: Current Treatment- cost - $100000 Effectiveness- 4 life years health utility index- 0.5 New…
Q: Defining the ideal or future state in the decision making process is typically the most challengoing…
A: Decision making process- behind every successful business there is correct decision which has been…
Q: "While there are constraints on managerial-decision discretion, managers still have significant…
A: Managers have a great impact on an organisation’s success since Are capable of developing future…
Q: The expected utility implies that the decision maker regards this option as being equivalent to a…
A: ANSWER: TRUE IS THE CORRECT ANSWER.
Q: When Delroy draws on well-developed procedures in his job of grocery store inventory clerk to…
A: Decision-making: It is involved in selecting a particular course of action from various alternatives…
Q: You are the Chief Executive Officer for NeverEnding Tyres Inc. You have the responsibility to secure…
A: Decision-making is one of the key processes to arrive at a specific conclusion. While making a…
Q: Which one of the following options is not considered as a key factor for making good decisions when…
A: Conflicts are bound to arise when people work together. Managers need to know how to make the best…
Q: With respect to consumer decision making, the ________ set is the set of strong contenders from…
A: The concept covered here is of Marketing management and consumer decision making.
Q: In finding a location, the higher the foot-traffic means the higher the sales. B. Knowing the…
A: Finding a good location definitely mean that more people will be coming and the chances of business…
Q: Assume that the payoff table provides cost rather than profit payoffs. What is the recommended…
A: We are only allowed to do first three sub parts at a time. Please post rest parts again to get…
Q: The Marketing department of Luminus group holds five employees, one supervisor and one middle…
A: Organizing: After a plan is in place, a manager needs to organize her team and materials according…
Q: Identifying a problem and matching it with established routines and procedures for resolving it is a…
A: In an organization, there are various types of decisions that a manager or leader takes to manage…
Q: Uncontrollable inputs are the decision variables for a model Select one : True or false
A: ANSWER IS AS BELOW:
Q: Monica Britt has enjoyed sailing small boats since she was 7 years old, when her mother started…
A: The decision tree is shown below.
Q: Select the components or elements in the formulation of the following model.: Linear optimization…
A: The method used by the organization to optimizes the problem with the objective function and…
Q: Which of the following is not a criterion for decision making? a. Maximum likelihood b. Bayes’…
A: Decision-making is the process of choosing the best alternative from the different options given by…
Q: A circus is scheduled to appear in a city on a given date. The profits obtained are heavily…
A: Sunny Prior Conditional Joint Revised (Posterior) Good 0.5 0.7 0.5*0.7 = 0.35 0.35/0.45=0.78…
Q: If in decision making a risk is a potential future event the odds of which can be calculated, then…
A: Hazard Analysis and Risk Management Evaluating and Managing Risks Hazard is comprised of two…
Q: (a) Which alternative should be chosen under the maximin payoff criterion? (b) Which alternative…
A: The payoff table is given in order along with the prior probability and the decision as per the…
Q: Choose which criteria give the most promising result? Are these criteria often accurate? maximac…
A: Maximax: Maximax criteria help to find possible pay off or lowest possible cost. This method helps…
Q: A. Be careful when you choose your location. Knowing the chances of crime in the areas you are…
A: Before starting any business and selecting a location for it it is important for an entrepreneur to…
Q: Come up with a decision using MINIMAX REGRET CRITERION under conditions of uncertainty using the…
A: Given data is
Q: What information does a decision maker need in order to perform an expected value analysis of a…
A: It is possible to carry out an expected value analysis. Most importantly, analysis is required which…
Q: There is a marketing manager who is deciding how to allocate the financial resources among three…
A: There are various business organizations and marketing organizations across the world. All the…
Q: Compared to the area between z = 1.00 and z = 1.25, the area between z = 2.00 and z = 2.25 in the…
A: Compared to the area between z = 1.00 and z = 1.25, the area between z = 2.00 and z = 2.25 in the…
Q: The case where the firm has only two factors of production (labor and capital) both of which are…
A: The long-run:- The long-run is a point of time in which all factors of production and costs are…
Q: Supposed that a decision-maker faced with four decision alternatives and four states of nature…
A: A scenario with a range of potential outcomes and a range of potential solutions can be represented…
Q: Suppose you plan to buy a new car and wish to pick a best one from a list of candidate models, shown…
A: Note- We are authorized to answer one question at a time, since you have not mentioned which…
Q: true or false If the decision doesn’t involve risk and uncertainty, utility is the numerical…
A: Explanation : For each course of the action facing the decision maker will be deriving the numerical…
Q: The first stage of decision-making is a.generating alternative solutions. b.choosing the best…
A: Decision-making: It is involved in selecting a particular course of action from various alternatives…
Q: Identify the statement which is TRUE regarding decision making. a. Managers should use only…
A: a. Managers should use only ready-made solutions all the time: Ready-made solutions are not always…
Q: A decision situation can be expressed as either a payoff table or a decision tree diagram.…
A: The Answer is TRUE ( Decision situation means the outcome of any decision , so payoff table…
Q: A decision in which the manager of a firm decides on only the whole number value of a control…
A: Modern management relies heavily on decision-making. Essentially, the primary job of management is…
Q: he expected value criterion is considered to be the rational criterion on which to base a decision.…
A: The expected value of a decision is based upon probabilities, which takes into account the amount of…
Q: The first step in rational decision making is : a. recognizing that a decision is necessary b.…
A: The process of rational decision-making is a 5 steps process. These 5 steps are explained below.…
Q: Monica Britt has enjoyed sailing small boats since she was 7 years old, when her mother started…
A: From the given write-up, the following information can be extracted. States of nature…
Q: Identifying a problem and matching it with established routines and procedures for resolving it is a…
A: Effective and correct decision-making is an essential part of modern management. In everyday life,…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- The model in Example 9.3 has only two market outcomes, good and bad, and two corresponding predictions, good and bad. Modify the decision tree by allowing three outcomes and three predictions: good, fair, and bad. You can change the inputs to the model (monetary values and probabilities) in any reasonable way you like. Then you will also have to modify the Bayes rule calculations. You can decide whether it is easier to modify the existing tree or start from scratch with a new tree.A decision table describes results associated with which of the following A) Two decision variables B) One decision variable and one uncertain variable C) Two uncertain variables D) None of the aboveBelow pay-off was generated for your investment options. From this pay-off table determine the best decision using decision making under uncertainty: a.Maximax b.Maximin c.Minimax
- What is the major disadvantage to the expected value criterion in a decision tree? none of the other choices creating a correct decision tree modeling the decision process designing experiments to get posterior probabilities Expected values work best for a decision made many times. « Previous Not SimpfunThe Decision Variables in a What If analysis provide the limitations for each variable. True FalseExplain all, please Match the following decision making definition to one of the following concepts: (Consensus Decision, Pro/Con Listing, Plurality Decision, Preference Trees, Flipism, Majority Decision, Range Voting, Prioritization or Satisficing) 1. Outlining the costs and benefits of a decision 2. Only considering options until the first acceptable one is presented 3. Listing goals in rank order 4. Progressively paring-back a complicated decision by dealing with one problem at a time 5. Making a decision by using some random method
- Need answer fast - In a decision problem under uncertainty where Return-On-Investment (ROI) is the objective pursued, valid decision criteria are (check all that applies) (a) Maximin Regret (b) Minimin (c) Maximax (d) Minimax.Solve the following problems using the Decision Analysis. Construct first the decision tree, and then use Bayes' Formula to determine the optimal decision. Decision Problems 1. The Quano Company is considering the purchase of mineral rights on a piece of property for P1 million. The price includes a seismic test whether the land is of type X or Y geological formation. The test cannot be done until after the purchase is made. According to reliable information 60% of the land is of type X formation and 40% of the area is of type Y. If the company decides to drill on the land, it will cost P2.5 million. It may hit oil, gas, or a dry well. Drilling experience indicates that the probability of hitting oil is 25% on X formation and 10% on Y formation. The probability of hitting gas is 30% on X formation and 45% on Y formation. The estimated return for an oil well is P5 million and from a gas well, P3 million. Should the company purchase mineral rights?Which of the following is demerit of Decision tree approach? It displays the logical relationship between the parts of decision It analyses the problem in terms of expected values and thus yields an average valued solution. In the initial decisions, its outcomes affect the subsequent decisions There is often Consistency in assigning probabilities for different events.
- What are the probabilities in a decision problem called that are computed from the prior probabilities using Bayes Theorem? posterior probabilities O binomial probabilities O none of the other choices O one-step transition probabilities « Previous Next SimpfunQuestion 2 An oil company must decide whether or not to drill an oil well in a particular area that they already own. The decision maker (DM) believes that the area could be dry, reasonably good or a bonanza. See data in the table which shows the gross revenues for the oil well that is found. Decision Drill $0 Abandon $0 Probability 0.3 Dry (D) Seismic Results No structure(N) Open(0) Closed (C) Reasonably good(G) $85 $0 0.3 Drilling costs 40M. The company can take a series of seismic soundings at a cost of 12M) to determine the underlying geological structure. The results will be either "no structure", "open structure or "closed structure". The reliability of the testing company is as follows that is, this reflects their historical performance. Bonanza(B) Note that if the test result is "no structure" the company can sell the land to a developer for 50 m. otherwise (for the other results) it can abandon the drilling idea at no benefit to itself. $200 m $0 0.4 Dry(d) 0.7 0.2 0.1…What is the best decision alternative under Maximax criterion? (Provide complete decision table solution) DIHL Co. is a Danao-based logistics company owned by Engr. Donald H. Lalican. Anticipating the growing demand for delivery services, he developed a strategic plan for the year 2022. The options are to hire additional delivery crews in their Mandaue facility, construct a new facility in Talisay City, or subcontract Ohlala Move, a small- time company. A study conducted by the marketing department forecasted the following payoff values, which are summarized in the table below. The values are expressed as gains and alpha = 0.6. States of Nature Decision Alternatives Failure Low Moderate High Hire additional Drivers in Mandaue -450,000 -250,000 250,000 500,000 Construct a facility in Talisay -800,000 -400,000 300,000 700,000 Subcontracting Ohlala Move -100,000 -10,000 150,000 300,000 Hire Additional Drivers in Mandaue Construct a Facility in Talisay O Subcontracting Ohlala Move Both…