Test Bank for Quantitative Analysis for Management, 14th Edition by Barry Render, Ralph Stair Jr, Michael Hanna

Test Bank for
Quantitative Analysis for Management, 14th edition Render
Chapter 1-15

Chapter 1 Introduction to Quantitative Analysis
M

1.1 True/False
ED
1) Interviews, statistical sampling, and company reports provide input data for quantitative
analysis models.
Answer: TRUE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
C
AACSB: Analytical thinking
Classification: Concept
O
2) In the early 1900s, Frederick Winslow Taylor pioneered the principles of the scientific approach
to management.
Answer: TRUE
N
Diff: Moderate
Topic: WHAT IS QUANTITATIVE ANALYSIS?
LO: 1.1: Describe the quantitative analysis approach and understand how to apply it to a real
N
situation.
AACSB: Analytical thinking
Classification: Concept
O

3) Managers do not need to be familiar with the limitations, assumptions, and/or specific
applicability of the quantitative analysis technique to use it for accurate decision making.
IS
Answer: FALSE
Diff: Moderate
Topic: INTRODUCTION
LO: 1.6: Recognize possible problems in using quantitative analysis.
SE
AACSB: Analytical thinking
Classification: Concept

4) During World War II, many new scientific and quantitative techniques were developed to assist
the military, and these developments were so successful that many companies started using similar
U
techniques in managerial decision making and planning after the war.
Answer: TRUE
Diff: Moderate
R
Topic: WHAT IS QUANTITATIVE ANALYSIS?
LO: 1.1: Describe the quantitative analysis approach and understand how to apply it to a real
situation.
AACSB: Analytical thinking
Classification: Concept
1
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, 5) The study of Business Analytics involves the use of large datasets known as big data.
Answer: TRUE
Diff: Moderate
Topic: BUSINESS ANALYTICS
LO: 1.2: Describe the three categories of business analytics.
M
AACSB: Analytical thinking
Classification: Concept

6) Predictive Analytics is aimed at forecasting future outcomes based on patterns in the past data.
ED
Answer: TRUE
Diff: Moderate
Topic: BUSINESS ANALYTICS
LO: 1.2: Describe the three categories of business analytics.
AACSB: Analytical thinking
Classification: Concept
C

7) When a problem is difficult to quantify, it may be necessary to develop unspecific objectives.
O
Answer: FALSE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
N
AACSB: Analytical thinking
Classification: Concept
N
8) The Quantitative Analysis Approach consists of six steps.
Answer: FALSE
Diff: Moderate
O
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
IS
Classification: Concept

9) A schematic model is a picture, drawing, or chart of reality.
Answer: TRUE
SE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
Classification: Concept
U
10) Decision variables may also be called parameters.
Answer: FALSE
R
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
Classification: Concept
2
Copyright © 2024 Pearson Education, Inc.

, 11) Model variables can be controllable or uncontrollable.
Answer: TRUE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
M
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
Classification: Concept
ED
12) A series of steps or procedures that are repeated is known as an algorithm.
Answer: TRUE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
C
Classification: Concept
O
13) A model is a representation of a situation.
Answer: TRUE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
N
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
Classification: Concept
N

14) A parameter is a measurable quantity that may vary or is subject to change.
Answer: FALSE
O
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
IS
AACSB: Analytical thinking
Classification: Concept

15) Trying various approaches and picking the one resulting in the best decision is called
SE
incomplete enumeration.
Answer: FALSE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
U
AACSB: Analytical thinking
Classification: Concept
R

3
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, 16) All problems can be solved by considering only the quantitative issues.
Answer: FALSE
Diff: Easy
Topic: WHAT IS QUANTITATIVE ANALYSIS?
LO: 1.1: Describe the quantitative analysis approach and understand how to apply it to a real
M
situation.
AACSB: Analytical thinking
Classification: Concept
ED
17) A profit equation is an example of a schematic model.
Answer: FALSE
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
C
Classification: Concept
O
18) Testing the data and model should be done before the results have been analyzed.
Answer: TRUE
Diff: Easy
Topic: THE QUANTITATIVE ANALYSIS APPROACH
N
LO: 1.3: Describe the use of modeling in quantitative analysis.
AACSB: Analytical thinking
Classification: Concept
N

19) Sensitivity analysis helps us estimate the effect of known and unknown errors in our model.
Answer: TRUE
O
Diff: Moderate
Topic: THE QUANTITATIVE ANALYSIS APPROACH
LO: 1.3: Describe the use of modeling in quantitative analysis.
IS
AACSB: Analytical thinking
Classification: Concept

20) Models can help us analyze a problem and sell a decision to those who must implement it.
SE
Answer: TRUE
Diff: Easy
Topic: HOW TO DEVELOP A QUANTITATIVE ANALYSIS MODEL
LO: 1.4: Prepare a quantitative analysis model.
AACSB: Analytical thinking
U
Classification: Concept
R

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