Exhibit 14.8 The Following Questions Use the Information Below

question 91

Multiple Choice

Exhibit 14.8
The following questions use the information below.
A company needs to buy a new insurance policy. They have three policies to choose from, A, B and C. The policies differ with respect to price, coverage and ease of billing. The company has developed the following AHP tables for price and summary. The other tables are not shown due to space limitations.
-A "risk averse" decision maker assigns the ____ relative utility to any payoff but has a(n) ____ marginal utility for increased payoffs.

• A) largest; increasing
• B) largest; diminishing
• C) smallest; diminishing
• D) smallest; increasing

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Definitions:

Unique Information

Information that is distinct and not replicated elsewhere, providing a competitive advantage or critical insight.

Employee Turnover

Refers to the rate at which employees leave a company and are replaced by new employees.

Absenteeism

The habitual non-presence of an employee at their job, which can be a sign of dissatisfaction, personal issues, or health problems.

Multicultural Organization

The multicultural organization is one that has achieved high levels of diversity, can capitalize fully on the advantages of the diversity, and has few diversity-related problems.