4) Which of the following is not an assumption of the classical or rational decision making model?

The decision maker has multiple goals.

The decision maker has clear preferences.

The decision maker has no cognitive limitations.

All alternatives are known.

Preferences are constant and stable.

5) After hearing that her friend Jim won a jackpot at the casino, Claire Voiant said she knew he would win. This is an example of a hindsight bias.

True

False

6) The matrix structure allows a firm to focus equally on products and functions.

True or False

7) Despite performing well all year, a day before her appraisal, Sue forgot to submit a report. Due to this, her boss gave her a poor rating on her yearly appraisal. This is an example of an availability heuristic.

True

False

8) A job specification describes the minimum qualifications a person must have to perform the job successfully. For example, a job specification for an editor may require all editors to have flawless grammar skills.

True

False