MGMT 2500: EXAM 3 PRACTICE QUESTIONS WITH SOLUTIONS NEWEST 2026/27 | ALREADY GRADED A+

MGMT 2500: EXAM 3 PRACTICE
QUESTIONS WITH SOLUTIONS
NEWEST 2026/27 | ALREADY
GRADED A+
The _______ model of decision making explains how managers should make
decisions.
-intuition
-satisficing
-holistic
-evidence-based
-rational - ANSWER--rational

Which of the following statements about tendencies in managerial decision making is
false?
-Managers make decisions too quickly.
-Managers don't invest resources to properly study the problem and alternative
courses of action.
-Managers study the problem too extensively and collect too much data.
-Managers take the easy solution without rigorously considering alternatives.
-Managers don't consider all the relevant data. - ANSWER--Managers study the
problem too extensively and collect too much data.

In evaluating alternatives, managers should consider all but one of the following.
Which one?
-Quality
-Cost
-Ethical considerations
-Personal preferences
-Resources - ANSWER--Personal preferences

In a dynamic/chaotic decision environment, a manager should use the _______
method of decision making.
-heuristic
-rational
-satisficing
-optimizing
-intuition or evidence-based - ANSWER--intuition or evidence-based

Josephine is about to graduate from college and is excited about joining her two
roommates to start a small coffee shop near campus. She has never started a
business before, but she is sure that her business degree has taught her everything
she needs to know. The three of them have enough money for their initial costs and
figure that they can cover their expenses with the cash flow from the business.
Which heuristic is probably involved?

, -Representativeness
-Anchoring
-Availability
-Fundamental attribution error
-Overconfidence - ANSWER--Overconfidence

Which of the following statements is true?
-Evidence-based decision making should never be used in making decisions.
-Evidence-based decision making should never be used in informing decisions.
-Evidence-based decision making should never be used in supporting decisions.
-Evidence-based decision making should always be used in supporting decisions.
-Evidence-based decision making should sometimes be used in supporting
decisions. - ANSWER--Evidence-based decision making should sometimes be used
in supporting decisions.

Lily had graduated from high school and was ready to go to university. However, she
also loved sports. She wanted to join a basketball academy and become a
professional basketball player. She found her uncertainty about her future very
stressful and was psychologically uncomfortable about it. This implies that Lily had
a(n) ___________.
-low tolerance for ambiguity
-conceptual decision-making style
-low need for structure
-analytical style of decision making
-high social concern - ANSWER--low tolerance for ambiguity

A person with a low tolerance for ambiguity who is oriented toward people and social
concerns when making a decision has which style?
-Analytical
-Conceptual
-Directive
-Behavioral
-Consultative - ANSWER--Behavioral

The dimensions of situational control in Fiedler's model are:
-LMX, task structure, and work facilitation.
-locus of control, task ability, and need for achievement.
-task structure and work group dynamics.
-leader-member relations, task structure, and position power.
-LMX, task structure, and personal power. - ANSWER--leader-member relations,
task structure, and position power.

The general strategy for the practical application of situational theories includes all
but one of the following. Which one?
-Identify important outcomes
-Identify situational conditions
-Match leadership to the conditions at hand
-Stick to one leadership style
-Identify relevant leadership behaviors - ANSWER--Stick to one leadership style