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True or False Quiz
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1

Most day-to-day decisions in business are nonprogrammed decisions.
A)TRUE
B)FALSE
2

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.
A)TRUE
B)FALSE
3

The likelihood of a manager making an error in judgment is much greater in programmed decision-making than in nonprogrammed decision-making.
A)TRUE
B)FALSE
4

Routine decision making following established rules is called programmed decision making.
A)TRUE
B)FALSE
5

Judgment is the ability to develop a sound opinion based on available information.
A)TRUE
B)FALSE
6

The optimum decision is the most appropriate in light of what managers believe to be the most desirable consequences for society.
A)TRUE
B)FALSE
7

Non-programmed decision making occurs when there are no ready-made decision rules that managers can apply to a situation.
A)TRUE
B)FALSE
8

Bounded rationality refers to the cognitive limits on human decision making as crucial in decision making.
A)TRUE
B)FALSE
9

Satisficing is searching for the optimal solution to a problem.
A)TRUE
B)FALSE
10

A common reason for poor decisions is that managers fail to specify the criteria that are important for making that particular decision.
A)TRUE
B)FALSE
11

Heuristics are rules of thumb that simplify decision making.
A)TRUE
B)FALSE
12

Escalating commitment is a source of cognitive bias from continuing to fund a project when data illustrates the project is failing.
A)TRUE
B)FALSE
13

When the members of a group try hard to agree, even when it is done without accurately assessing the information available to the group, we say that groupthink has occurred.
A)TRUE
B)FALSE
14

A situation when group members read their suggestions to the whole group and then discuss and rank the alternatives is called the Delphi technique.
A)TRUE
B)FALSE
15

When a group meets face-to-face and attempts to generate a wide variety of alternatives as possible solutions to a problem without criticizing them until all of the alternatives have been presented, brainstorming has occurred.
A)TRUE
B)FALSE
16

The term "data" refers to raw, unsummarized facts.
A)TRUE
B)FALSE
17

Managers frequently have access to complete information.
A)TRUE
B)FALSE
18

Information systems sometimes "flatten" the hierarchy of an organization.
A)TRUE
B)FALSE





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