Prescriptive Analytics
1. A purely rational decision maker should Answers:
a. disregard the consequences of his/her choices.
b. always select optimal action.
c. allow emotions influence the decision.
d. consistently select the same alternative, regardless of how the problem is framed.: d. consistently select the same
alternative, regardless of how the problem is framed.
2. Which of the following is true of "What if?" analysis? Answers:
a. It is not very useful when working with non mathematical models.
b. A well-designed spreadsheet facilitates "What if?" analysis.
c. "What if?" analysis is an efficient optimization technique.
d. "What if?" analysis is useful in creating a well-defined problem statement.-
: b. A well-designed spreadsheet facilitates "What if?" analysis.
3. Consistently using a structured, model based process to make decisions Answers:
a. is evidence that luck plays an important role in decision making.
b. always leads to well-deserved success in managerial decision making.
c. should produce good outcomes more frequently.
d. is less effective than making decisions in a haphazard manner.: c. should produce good outcomes more
frequently.
4. A situation when decision quality is bad and the resulting outcome quality is good is referred to as:
Answers:
a. poetic justice.
b. dumb luck.
c. bad luck.
d. deserved success.: b. dumb luck.
5. In the following expression, which is (are) the dependent variable(s)? PROFIT = REVENUE
EXPENSES
Answers:
a. Profit
b. Revenue
c. Expensesd.
(b) and (c): a. Profit
6. Which of the following fields of study is defined in Chapter One as the one that "uses computers,
statistics, and mathematics to solve business problems"?
, Prescriptive Analytics
Answers:
a. Accounting
b. Information systems
c. Scientific management
d. Business analytics: d. Business analytics
7. Which of the following categories of modeling techniques addresses uncer- tainty in the values of the
independent variables?
Answers:
a. Prescriptive models
b. Scale models
c. Predictive models
d. Descriptive models: d. Descriptive models
8. Identifying the real problems faced by the decision maker Answers:
a. is not important since the decision maker has already defined the problem.
b. requires insight, some imagination, time and a good bit of detective work.
c. first requires a well-defined problem statement.
d. will lead to developing the best model.: b. requires insight, some imagination, time and a good bit of detective
work.
9. In this text we use the term "mathematics" to encompass i.familiar elements of math
such as algebra.ii.logic. Answers:
a. i only
b. ii only
c. Both i and ii
d. Neither i nor ii: c. Both i and ii
10.If results testing produces unsatisfactory results Answers:
a. repeated testing.
b. the problem-solving process requires new formulation and implementation.
c. checking the solution algorithm.
d. minor adjustments to the existing model.: b. the problem-solving process requires new formulation and
implementation.
11.A valid model:
Answers:
a. produces an optimal solution.
b. produces a good solution.
c. produces a feasible solution.
1. A purely rational decision maker should Answers:
a. disregard the consequences of his/her choices.
b. always select optimal action.
c. allow emotions influence the decision.
d. consistently select the same alternative, regardless of how the problem is framed.: d. consistently select the same
alternative, regardless of how the problem is framed.
2. Which of the following is true of "What if?" analysis? Answers:
a. It is not very useful when working with non mathematical models.
b. A well-designed spreadsheet facilitates "What if?" analysis.
c. "What if?" analysis is an efficient optimization technique.
d. "What if?" analysis is useful in creating a well-defined problem statement.-
: b. A well-designed spreadsheet facilitates "What if?" analysis.
3. Consistently using a structured, model based process to make decisions Answers:
a. is evidence that luck plays an important role in decision making.
b. always leads to well-deserved success in managerial decision making.
c. should produce good outcomes more frequently.
d. is less effective than making decisions in a haphazard manner.: c. should produce good outcomes more
frequently.
4. A situation when decision quality is bad and the resulting outcome quality is good is referred to as:
Answers:
a. poetic justice.
b. dumb luck.
c. bad luck.
d. deserved success.: b. dumb luck.
5. In the following expression, which is (are) the dependent variable(s)? PROFIT = REVENUE
EXPENSES
Answers:
a. Profit
b. Revenue
c. Expensesd.
(b) and (c): a. Profit
6. Which of the following fields of study is defined in Chapter One as the one that "uses computers,
statistics, and mathematics to solve business problems"?
, Prescriptive Analytics
Answers:
a. Accounting
b. Information systems
c. Scientific management
d. Business analytics: d. Business analytics
7. Which of the following categories of modeling techniques addresses uncer- tainty in the values of the
independent variables?
Answers:
a. Prescriptive models
b. Scale models
c. Predictive models
d. Descriptive models: d. Descriptive models
8. Identifying the real problems faced by the decision maker Answers:
a. is not important since the decision maker has already defined the problem.
b. requires insight, some imagination, time and a good bit of detective work.
c. first requires a well-defined problem statement.
d. will lead to developing the best model.: b. requires insight, some imagination, time and a good bit of detective
work.
9. In this text we use the term "mathematics" to encompass i.familiar elements of math
such as algebra.ii.logic. Answers:
a. i only
b. ii only
c. Both i and ii
d. Neither i nor ii: c. Both i and ii
10.If results testing produces unsatisfactory results Answers:
a. repeated testing.
b. the problem-solving process requires new formulation and implementation.
c. checking the solution algorithm.
d. minor adjustments to the existing model.: b. the problem-solving process requires new formulation and
implementation.
11.A valid model:
Answers:
a. produces an optimal solution.
b. produces a good solution.
c. produces a feasible solution.
