Trying to Decide Between Three Alternatives, a Company Employed a Scoring

question 10

Multiple Choice

Trying to decide between three alternatives, a company employed a scoring model.Three criteria were chosen.Criteria A was believed to be the most important and so was given a weight of 50%.The other two were deemed to be equal to each other in importance.A relative scoring range of 0 to 10 was used.The table below shows each alternative and their scores.Which alternative should the company choose?

• A) Choose alternative A
• B) Choose alternative B
• C) Choose alternative C
• D) Choose either alternative A or B
• E) Choose either alternative A or C

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Definitions:

Service Level

The complement of the probability of a stockout.

Cost Of Waiting

The potential loss incurred by delaying decisions or actions, often used in queueing theory and service management.

Balk

The action taken by customers who decide not to enter a queue or a service system because it appears too long or slow.

Renege

In service systems, the action by which a customer decides to leave or abandon the queue before receiving service.