MCQOPTIONS
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MCQOPTIONS
This section includes 29 Mcqs, each offering curated multiple-choice questions to sharpen your Decision Making knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
Type of accounting which measures, reports and analysis of the non-financial and financial information to help in decision making is called |
| A. | financial accounting |
| B. | management accounting |
| C. | cost accounting |
| D. | decision accounting |
| Answer» C. cost accounting | |
| 2. |
Costs that behaves as irrelevant costs in process of decision making are classified as |
| A. | past costs |
| B. | future costs |
| C. | expected costs |
| D. | sunk costs |
| Answer» B. future costs | |
| 3. |
What is the term for the 'rule of thumb' type of bias in decision making? |
| A. | Framing bias |
| B. | Hindsight bias |
| C. | Over-confidence bias |
| D. | Heuristics |
| Answer» E. | |
| 4. |
What assumption is the garbage can model of decision making based on? |
| A. | Limited knowledge and great insight |
| B. | Limited knowledge but high level of experience |
| C. | Limited knowledge and uncertainty |
| D. | Limited knowledge and high risk |
| Answer» D. Limited knowledge and high risk | |
| 5. |
Which of these does not form part of the key streams identified by March (1988) in decision making in highly ambiguous environments? |
| A. | Expectations |
| B. | Choice opportunities |
| C. | Problems |
| D. | Solutions |
| Answer» B. Choice opportunities | |
| 6. |
What is the term for a sub-optimal but acceptable outcome of negotiations between parties? |
| A. | Bargaining |
| B. | Satisficing |
| C. | Accepting |
| D. | Compromising |
| Answer» C. Accepting | |
| 7. |
What is intuitive decision making based on? |
| A. | Guesswork |
| B. | Gambling |
| C. | Instinct |
| D. | Rationality |
| Answer» D. Rationality | |
| 8. |
Simon (1960) is associated with what type of decision making model? |
| A. | Rational |
| B. | Classical |
| C. | Programmed |
| D. | Administrative |
| Answer» E. | |
| 9. |
What is the term for decisions limited by human capacity to absorb and analyse information? |
| A. | Cognitive rationality |
| B. | Conscious rationality |
| C. | Bounded rationality |
| D. | Restricted rationality |
| Answer» D. Restricted rationality | |
| 10. |
What is not an assumption underpinning the rational decision making model? |
| A. | Incomplete information |
| B. | An agreed goal |
| C. | A structured problem |
| D. | High level of certainty regarding the environment |
| Answer» B. An agreed goal | |
| 11. |
Several studies have examined the effect of selected personality variables on the decision making process. These studies generally have focused on _____________ variables. |
| A. | personality |
| B. | situational |
| C. | interactional |
| D. | all of the above |
| Answer» E. | |
| 12. |
The concept that a manager's freedom to make totally rational decisions is restricted by internal and external environmental factors and by the manager's own characteristics and decision-making ability is called: |
| A. | bounded rationality. |
| B. | values |
| C. | objective rationality |
| D. | A & B. |
| Answer» B. values | |
| 13. |
_____________ refers to the seriousness of a problem's effects |
| A. | urgency |
| B. | impact |
| C. | growth tendency. |
| D. | none of the above |
| Answer» C. growth tendency. | |
| 14. |
Problems are usually of the following type(s): |
| A. | crisis problems. |
| B. | routine problems. |
| C. | problems of failing to take advantage of opportunities. |
| D. | all of the above |
| Answer» E. | |
| 15. |
The first step in decision making is to: |
| A. | establish priorities |
| B. | establish specific goals and objectives. |
| C. | identify and define the problem |
| D. | determine courses of the problem |
| Answer» C. identify and define the problem | |
| 16. |
____________ decision making is an organized, exacting, data-driven process. |
| A. | systematic |
| B. | programmed |
| C. | non programmed |
| D. | intuitive |
| Answer» B. programmed | |
| 17. |
A decision based primarily on an almost unconscious reliance on the decision maker's experience without a conscious rational analysis having been made is called: |
| A. | systematic |
| B. | programmed |
| C. | non programmed |
| D. | intuitive |
| Answer» E. | |
| 18. |
A decision made before the occurrence of an external or internal change is called a _________ decision. |
| A. | reactive |
| B. | proactive |
| C. | intuitive |
| D. | systematic |
| Answer» C. intuitive | |
| 19. |
Non programmed decisions are most likely to be made by: |
| A. | middle management. |
| B. | lower management. |
| C. | top management. |
| D. | supervisory management. |
| Answer» D. supervisory management. | |
| 20. |
A decision for repetitive or routine problems for which the responses have been already been decided and been known to the person who will make the decision is called: |
| A. | programmed |
| B. | non programmed. |
| C. | strategic |
| D. | professional |
| Answer» B. non programmed. | |
| 21. |
What are characteristics of a programmed decision? |
| A. | Complex and risky |
| B. | Uncertain and non-routine |
| C. | Low risk and certain |
| D. | Routine and non-complex |
| Answer» E. | |
| 22. |
Fourth step in decision making process is |
| A. | linear correlation |
| B. | making decisions |
| C. | implement decisions |
| D. | evaluate performance |
| Answer» C. implement decisions | |
| 23. |
Which of the following is not an attribute of useful information? |
| A. | accessible |
| B. | timely |
| C. | relevant |
| D. | none of the above. |
| Answer» E. | |
| 24. |
Decision making step, which consists of organization goals, predicting alternatives and communicating goals is called |
| A. | organization |
| B. | alternation |
| C. | planning |
| D. | valuing |
| Answer» D. valuing | |
| 25. |
third step in decision making process is |
| A. | linear predictions |
| B. | dependent predictions |
| C. | |
| D. | D. |
| Answer» D. D. | |
| 26. |
An employee in a company is working out a schedule to ensure that all the sales staff arrive at the company conference on time. This is a: |
| A. | non programmed decision. |
| B. | programmed decision |
| C. | problem decision. |
| D. | crisis decision |
| Answer» C. problem decision. | |
| 27. |
A process in which a group of individuals generate and state ideas, but in which the rules prohibit questioning, evaluating, or rejecting any ideas, even if they seem ridiculous is called: |
| A. | delphi technique. |
| B. | brainstorming. |
| C. | nominal group technique |
| D. | bounded rationality. |
| Answer» C. nominal group technique | |
| 28. |
A process for arriving at an evaluation of decisions, in which selected individuals are asked to respond individually to key questions about a problem, then are provided with a summary of the responses, all members have given and invited to respond again is called: |
| A. | delphi technique |
| B. | brainstorming |
| C. | nominal group technique. |
| D. | bounded rationality |
| Answer» B. brainstorming | |
| 29. |
A group brought together from different functions and levels of an organization to consider ways in which the organization's activities could be improved is called a(n): |
| A. | quality team. |
| B. | process improvement team. |
| C. | task team |
| D. | unit team |
| Answer» C. task team | |