ISM4402 CH6 T/F

A decision table shows the relationships of the problem graphically and can handle complex situations in a compact form.

False

A model builder makes predictions and assumptions regarding input data, many of which deal with the assessment of certain futures.

False

All quantitative models are typically made up of six basic components.

False

Business analysis is the monitoring, scanning, and interpretation of collected environmental information.

False

In decision making under uncertainty, it is assumed that complete knowledge is available.

False

Result variables are considered independent variables.

False

Simulations are an experimental, expensive, error-prone method for gaining insight into complex decision-making situations.

False

Spreadsheets are clearly the most popular developer modeling tool.

False

Spreadsheets include all possible tools needed to deploy a custom DSS.

False

A decision made under risk is also known as a probabilistic or stochastic decision-making situation.

True

Every LP model has some internal intermediate variables that are not explicitly stated.

True

In the School District of Philadelphia case, Excel and an add-in was used to evaluate different vendor options.

True

Many quantitative models of decision theory are based on comparing a single measure of effectiveness, generally some form of utility to the decision maker.

True

Modeling is a key element for prescriptive analytics.

True

Online commerce and communication has created an immense need for forecasting and an abundance of available information for performing it.

True

Simulation is normally used only when a problem is too complex to be treated using numerical optimization techniques.

True

Simulation is the appearance of reality.

True

The pessimistic approach assumes that the worst possible outcome for each alternative will occur and selects the best of these.

True

VIS uses animated computer graphic displays to present the impact of different managerial decisions.

True