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Title: Testbank Question 5.07
Learning Objective 1: LO 5.1 Identify the phases in the decision-making process, and
uses a decision support framework to demonstrate how technology supports managerial
decision making.
Section Reference 1: 5.1 Managers and Decision Making
Difficulty: Easy
Bloom’s Taxonomy: Comprehension
Answer: True
Answer: True
Answer: False
Answer: True
Answer: False
Answer: False
Answer: False
Title: Testbank Question 5.14
Learning Objective 1: LO 5.2 Describe and provide examples of different ways that
organizations use business intelligence (BI)
Section Reference 1: 5.2 What is Business Intelligence?
Difficulty: Easy
Bloom’s Taxonomy: Knowledge
Answer: False
Answer: False
Answer: False
18) Goal-seeking analysis attempts to find the value of the inputs necessary to achieve
a desired level of output.
Answer: True
19) A digital dashboard is very user friendly, supported by graphics, provides exception
reporting and drill down, and provides information related to critical success factors.
Answer: True
Answer: False
Answer: False
22) Sentiment analysis can provide marketing managers with near-real-time insight into
what consumers are thinking, so they can adjust their strategies and offers while it is still
possible to influence the outcomes.
Answer: True
.
Question Type: Multiple Choice
23) Refer to the Opening Case – How Much Rent Can You Charge?: RentRange
_____.
Answer: c
Answer: e
a) figurehead
b) monitor
c) leader
d) liaison
Answer: b
a) spokesperson
b) analyzer
c) disseminator
d) liaison
Answer: d
a) spokesperson
b) resource allocator
c) entrepreneur
d) negotiator
Answer: a
a) interpersonal
b) processor
c) informational
d) decisional
Answer: b
a) interpersonal
b) processor
c) informational
d) decisional
e) confrontational
Answer: a
30) Being an entrepreneur, disturbance handler, and negotiator is part of the _____
managerial role.
a) interpersonal
b) processor
c) informational
d) decisional
e) confrontational
Answer: d
31) In the _____ phase of the decision-making process, managers examine a situation
and identify and define the problem.
a) implementation
b) choice
c) design
d) intelligence
e) consideration
Answer: d
32) In the _____ phase of the decision-making process, managers construct a model
that simplifies the problem.
a) implementation
b) choice
c) design
d) intelligence
e) consideration
Answer: c
33) Success in the _____ phase of the decision-making process results in resolving the
original problem, and failure leads to a return to previous phases.
a) implementation
b) choice
c) design
d) intelligence
e) consideration
Answer: a
Title: Testbank Question 5.33
Learning Objective 1: LO 5.1 Identify the phases in the decision-making process, and
uses a decision support framework to demonstrate how technology supports managerial
decision making.
Section Reference 1: 5.1 Managers and Decision Making
Difficulty: Easy
Bloom’s Taxonomy: Comprehension
34) In the _____ phase of the decision-making process, managers test potential
solutions “on paper.”
a) implementation
b) choice
c) design
d) intelligence
e) consideration
Answer: b
35) Which of the following is not a reason why managers need IT support?
Answer: a
a) less, decreased
b) more, decreased
c) less, increased
d) more, increased
e) neither more nor less, decreased
Answer: d
a) It is routine.
b) It is repetitive.
c) Human intuition is not involved.
d) The first three phases of the decision-making process need not occur in any
particular sequence
e) Standard solutionsexist.
Answer: d
38) The type of decision that can be made by following a definite procedure is called
a(n) ______ decision.
a) structured
b) unstructured
c) undocumented
d) semistructured
e) procedural
Answer: a
a) Structured
b) Unstructured
c) Undocumented
d) Semi-structured
e) Procedural
Answer: a
a) structured
b) unstructured
c) undocumented
d) semi-structured
e) procedural
Answer: a
41) Calculating gross pay for hourly workers is an example of ________ decision
making.
a) structured
b) unstructured
c) undocumented
d) semi-structured
e) procedural
Answer: a
Answer: c
Title: Testbank Question 5.42
Learning Objective 1: LO 5.1 Identify the phases in the decision-making process, and
uses a decision support framework to demonstrate how technology supports managerial
decision making.
Section Reference 1: 5.1 Managers and Decision Making
Difficulty: Medium
Bloom’s Taxonomy: Comprehension
43) When there is no well-understood or agreed-on procedure for making a decision,
the decision is said to be ____________.
a) undocumented
b) structured
c) unstructured
d) semistructured
e) documented
Answer: c
a) structured
b) semi-structured
c) unstructured
d) informational
e) wisdom
Answer: b
45) Which type of decision requires a combination of standard solution procedures and
individual judgment?
a) structured
b) semistructured
c) unstructured
d) informational
e) wisdom
Answer: b
46) A company’s annual employee evaluation best fits which type of decision?
a) unstructured
b) structured
c) semi-structured
d) confrontational
e) wisdom
Answer: c
a) Operational control
b) Management control
c) Strategic planning
d) Expertise
e) Wisdom
Answer: a
a) Operational control
b) Management control
c) Strategic planning
d) Expertise
e) Wisdom
Answer: b
Answer: c
Answer: b
51) Amanda is working for the CEO of a small company. He is trying to make a strategic
decision about a new product. He has asked Amanda to build a model the represents
and simplifies the problem. Amanda’s boss is in the ______________ phase of the
decision-making process
a) implementation
b) choice.
c) design
d) intelligence
e) consideration
Answer: c
52) Elena is trying to decide whether she should expand her ice cream shop to a bigger
space. She decides to be very methodical about it and follow the phases of the
decision-making process she learned in college. Which of the following statements is
true?
a) During the intelligence phrase, Elena will build a model using assumptions about the
business.
b) During the design phrase, Elena will define the opportunity.
c) During the choice phase, Elena will lay out her options.
d) During the implementation phase, Elena will implement two of her solutions.
e) Elena will use test data to validate her model.
Answer: e
53) Elena is trying to decide whether she should expand her ice cream shop to a bigger
space. She decides to be very methodical about it and follow the phases of the
decision-making process she learned in college. She has developed a few alternatives.
Elena is in the ______________ phase of the decision-making process
a) implementation
b) choice.
c) design
d) intelligence
e) consideration
Answer: b
54) Which of the following is not a BI target that represents a level of change?
Answer: d
Title: Testbank Question 5.54
Learning Objective 1: LO 5.2 Describe and provide examples of different ways that
organizations use business intelligence (BI)
Section Reference 1: 5.2 What is Business Intelligence?
Difficulty: Easy
Bloom’s Taxonomy: Analysis
55) Refer to IT’s About Business 5.1 – Predicting Airplane Arrivals More Accurately: The
purpose of the first Flight Quest contest was to_______.
Answer: b
56) Refer to IT’s About Business 5.2 – Cardlytics Analyzes Customer Buying Behaviors:
which of the following statements about Cardlytics is not correct?
Answer: d
a) structured queries
b) database queries
c) data mining
d) query by example
e) expert system queries
Answer: c
58) _____ provides users with a view of what is happening, whereas _____ addresses
why it is happening.
Answer: e
59) Credit card companies would most likely use which of the following to check for
fraudulent credit card use?
a) Data mining
b) Expert systems
c) Neural networks
d) Multidimensional data analysis
e) Structured query language
Answer: a
60) A company wants to use data from past promotional mailings to identify people who
would likely respond favorably to future mailings. This company would most likely use
____________.
Answer: e
Answer: a
62) At the end of a semester, a student knows that she must achieve a grade of 81 or
higher on her final exam to get an A in the course. She has just performed what kind of
analysis?
a) What-if
b) Qualitative
c) Sensitivity
d) Goal-seeking
e) Simulation
Answer: d
63) _____ attempts to find the value of the inputs necessary to achieve a desired level
of output.
a) What-if analysis
b) Qualitative analysis
c) Sensitivity analysis
d) Goal-seeking analysis
e) Simulation
Answer: d
64) You’ve started an internship at the major hospital in your city. Your boss gave you
ten minutes of training on the data warehouse that you have access to. The last thing
she told you was to do some analysis on the Visit cube. Which of the following
statements is false?
Answer: d
65) You’ve started an internship at the major hospital in your city. Your boss gave you
ten minutes of training on the data warehouse that you have access to. She then asked
you to see if there is any correlation between treatments and day of the week. To do
this, you will be doing:
a) Transaction processing.
b) Data mining
c) What-if analysis.
d) Goal-seeking
e) Exception reporting
Answer: b
Answer: e
67) Sally is working for her uncle for the summer in the marketing department of
Proctor & Gamble. One of her recent projects was to use the insights from the data
mining to determine the sales level that will cover expected expenses for the upcoming
year for one product line. Sally will be doing:
a) What-if analysis
b) Qualitative analysis
c) Sensitivity analysis
d) Goal-seeking analysis
e) A simulation.
Answer: d
68) Sally is working for her uncle for the summer in the marketing department of
Proctor & Gamble. One of her recent projects was to build a model of revenue that
would allow her boss to test a variety of price points against forecasts of units sold for
each product in a product line. Sally will be doing:
a) What-if analysis
b) Qualitative analysis
c) Sensitivity analysis
d) Goal-seeking analysis
e) A simulation.
Answer: a
69) Shawn is doing some budgeting for his new start-up business. He has developed a
budget in Excel using formulas, as he was taught to do in college. Which of the
following statements is true?
a) If Shawn changes one of his assumptions, Excel will automatically recalculate the
budget numbers.
b) Shawn would use sensitivity analysis to check the impact of changing his price.
c) Shawn would use roll-up to review his summary numbers.
d) Shawn would use what-if analysis to check the impact of changing his price and the
commission he pays his sales people.
e) Shawn would use goal-seeking analysis to examine the impact of changing his
forecast of units sold.
Answer: a
70) Shawn is doing some budgeting for his new start-up business. He has developed a
budget in Excel using formulas, as he was taught to do in college. He would like to
check the impact of changing his price and the commission he pays his sales people.
Shawn will be doing:
a) What-if analysis
b) Qualitative analysis
c) Sensitivity analysis
d) Goal-seeking analysis
e) A simulation.
Answer: c
71) Shawn is doing some budgeting for his new start-up business. He has developed a
budget in Excel using formulas, as he was taught to do in college. He is fairly confident
about his estimated expenses. He is also sure that his current price is the best price he
can get for his product. He would like to know how many units he needs to sell at that
price (and his cost per product from his supplier) to cover his expenses. Shawn will be
doing:
a) What-if analysis
b) Qualitative analysis
c) Sensitivity analysis
d) Goal-seeking analysis
e) A simulation.
Answer: d
72) A(n) _____ provides rapid access to timely information and direct access to
management reports.
a) decision support system
b) expert system
c) neural network
d) digital dashboard
e) data warehouse
Answer: d
73) Which capability of digital dashboards enables users to obtain the latest data
available on key performance indicators or some other metric, ideally in real time?
a) Drill-down
b) Key performance indicators
c) Status access
d) Trend analysis
e) Exception reporting
Answer: c
74) Which of the following information systems are very user friendly, supported by
graphics, and provide exception reporting and drill down?
Answer: b
Title: Testbank Question 5.74
Learning Objective 1: LO 5.4 Offer examples of how businesses and government
agencies can use different BI applications to analyze data
Section Reference 1: 5.4 Business Intelligence Applications for Presenting Results
Difficulty: Easy
Bloom’s Taxonomy: Analysis
a) drill-down
b) transaction processing
c) status access
d) key performance indicators
e) exception reporting
Answer: b
Answer: c
Answer: d
Answer: a
79) Refer to IT’s About Business 5.3 – Geographic Information Systems Have Many
Uses: Based on the case study, what type of company might use GIS data for
engineering and operations?
a) Telecommunications industry
b) Irrigation district
c) School district
d) Restaurant chains
Answer: b
80) Amanda is working for the CEO of a small company. He asks her to develop a
dashboard. Amanda starts thinking about the questions she needs to ask. Which of the
following questions would not on Amanda’s list?
Answer: c
81) Amanda is working for the CEO of a small company. He asks her to develop a
dashboard. Amanda starts thinking about the questions she needs to ask. She asks her
boss for his critical success factors and how he will measure them. The measures of
CSF’s are called _____________.
a) clustering
b) classification.
c) real-time data
d) key performance indicators
e) status access
Answer: d
82) Elena is trying to decide whether she should expand her ice cream shop to a bigger
space. She decides to be very methodical about it and follow the phases of the
decision-making process she learned in college. She has developed a few alternatives.
Elena built a model in Excel so she could test her assumptions. This is an example of
_______________.
Answer: a
83) Refer to Closing Case 1 – Conoco Phillips Uses Business Intelligence to Produce
More Oil and Gas: Which of the following statements about Conoco’s PLOT system is
not correct?
Answer: a
86) Discuss the information technologies that are available to support managers.
93) Discuss the structure of problems, the nature of decisions, and the framework for
computerized decision analysis.
94) Describe how your university could use a geographical information system in its
admissions process. What value could your university gain from using such a system?
95) Speculate on the future of virtual reality applications in higher (college and
university) education. Describe some possible applications.