Serena Is Evaluating Three Different Models of Hair Dryers,Model A,Model

question 119

Multiple Choice

Serena is evaluating three different models of hair dryers,Model A,Model B,and Model C.She assigns belief ratings from 1= very poor to 10= very good and importance ratings from 10= most important to 1=least important.She sets a minimum mental cutoff point of 5 for all the features.According to the conjunctive rule,which of the following is true?
$\begin{array}{|l|c|c|c|c|}\hline{\text { Attributes }} & \text { Importance } & \text { Model A } & \text { Model B } & \text { Model C } \\\hline & & \text { Belief ratings } & \text { Belief ratings } & \text { Belief ratings } \\\hline \text { Low price } & 8 & 7 & 4 & 3 \\\hline \text { Styling } & 9 & 6 & 7 & 4 \\\hline \text { Power efficiency } & 6 & 8 & 10 & 2 \\\hline\end{array}$

• A)She selects Model A,as all the features surpass 5.
• B)She selects Model B,as it has the highest power efficiency of 10.
• C)She selects Model C,as all the features score lower than the mental cutoff.
• D)She selects Model B,as it scores the highest on the styling criterion which is also the most important criterion.
• E)She selects Model A,as it scores highest on the low price attribute.

---

Definitions:

Actual Variable Manuf. Overhead

The actual amount incurred in variable overhead costs during manufacturing, contrasting with the budgeted or standard costs.

Direct Materials

Materials in their basic form that are specifically identifiable with the manufacturing of certain products or services.

Total Variance

The overall difference between the budgeted or standard cost figures and the actual figures.

Variable Overhead

A redefinition of variable manufacturing overhead; variable overhead encompasses all variable expenses involved in the operation of a business that are not directly tied to a specific product unit.