Which of the Following Is an Assumption of the Classical

question 120

Multiple Choice

Which of the following is an assumption of the classical model of decision making?

• A) Problems are unstructured and ill defined.
• B) The decision maker strives for conditions of certainty and tries to gather complete information.
• C) Criteria for evaluating alternatives are unknown.
• D) The decision maker selects the alternatives that will minimize the economic return to the organization.
• E) All of these

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Definitions:

Credit Period

The duration of time the buyer is allowed to pay for a purchase after the sale has been made, without incurring any interest.

High-priced Item

An item or asset that has a high cost or value, often relative to similar items in the market.

Low Collateral Value

Low collateral value refers to assets that have declined in worth, offering less security for loans and reducing borrowing capacity.

Credit Scoring

A system used by lenders to evaluate the creditworthiness of potential borrowers, resulting in a score that predicts the likelihood of repayment.