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problem1. Decision making is an indispensable part of the management process. describe this statement with use of appropriate diagrammatically representation.

problem2. Make a distinction between ‘decisions under certainty’ and ‘decisions under uncertainty’.

problem3. What are the elements common to most decision-theory problems?

problem4. A pensioner wants to invest up to an amount of Rs30, 000 in fixed income securities.  His broker recommends investing in two bonds: Bond A yielding 7% and Bond B yielding 10%. After some consideration, he decides to invest at most Rs 12,000 in Bond B and at least Rs 6,000 in Bond A. He also wants the amount invested in Bond A to be at least equivalent to the amount invested in Bond B. What should the broker suggested if the investor wants to maximize his return on investment? Demonstrate you solution graphically.

Management Theories, Management Studies

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