quantitative analysis, C723, business analytics, descriptive statistics, probability, regression analysis, forecasting, optimization, decision making, exam preparation

C723 Quantitative Analysis for Business Study Guide Mean- Average Median- Middle Number ( Order Numbers Low to High) (If no middle take the middle 2 numbers and average them) Mode- Most Common (Can be bi-modal) Decision Making Model Steps 1. Identify the Problem 2. Establish Decision Criteria (What needs to be done to solve the problem) 3. Weigh Decision Criteria (What is most important, weights should add up to 1) 4. Generate Alternatives 5. Evaluate Alternatives (Rank the Alternatives) 6. Choose the Best Alternative 7. Implement the Decision 8. Evaluate the Decision Risk- Measurable Uncertainty Uncertainty - Unmeasurable risk. (Less Relevant to decision making process than risk) Decision Models: Calculating Expected Values Decision Tree- Strong/ Weak Sales shows how much would be made if 100% of sales were strong or weak. Multiply the expected payout times the probability and then add them together. May be words and not picture, so focus on Expected Profit/Payout and probability. Downloaded by madiba South Africa stuvia () lOMoARcPSD| Network Diagrams: Calculating Expected Completion Times Expected Activity Time =  t =  A- Optimistic  M- Most Probable  P- Pessimistic  Expected Time should be close to Probable, but ABSOLUTELY between Optimistic and Pessimistic. Network Diagrams: Interpreting Network Diagrams Finding the Critical Path: Paths- Step by Step Process to get to end step. The below graph has 4 paths. The path length is not the number of steps/ activities, but the expected time or values associated with the paths. Critical Path- The LONGEST Path (in time). Determines project completion, since the project cannot be complete until the longest path is done.  Only 1 Critical Path in a Project  In the below example, ABCJ is the Critical Path. Network Diagrams: Crashing Activities