Which of the Following Is an Assumption of the Bounded

question 42

Multiple Choice

Which of the following is an assumption of the bounded rationality model?

• A)Managers are aware of all the possible alternatives.
• B)Managers have a consistent system of preferences, which is used to choose the best alternative.
• C)Managers can calculate the probability of success for each alternative.
• D)Managers develop shortcuts, called heuristics, to make decisions in order to save mental activity.

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Definitions:

Favorably Inclined

Having a positive attitude or disposition towards something or someone.

Intimate Space

A spatial zone up to two feet, about an arm’s length, from a person’s body that is reserved for close friends and loved ones.

Endearing

Having qualities that make someone or something lovable or attract positive feelings.

Decoding Process

Receipt and translation of information by the receiver.