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Ch 5: Quantitative Tools for Decision Making

About This Chapter

This self-paced chapter offers a comprehensive overview of quantitative tools for decision making. Strengthen and assess your knowledge of these tools and improve your ability to excel on an upcoming test or assignment by exploring our fun lessons and short quizzes.

Quantitative Tools for Decision Making - Chapter Summary

Ensuring you have a quality understanding of quantitative tools for decision making is easy using this chapter's entertaining lessons. Whether you're looking to learn more about decision trees or hope to better understand forecasting in business, this chapter can help! Choose any lessons that offer the knowledge boost you need, and use our mini quizzes to gauge your grasp of those lessons. To check your comprehension of the entire chapter, take our broader exam. The Dashboard keeps track of your progress and lets you easily submit lesson topic questions to our experts. After completing this chapter, you will be able to:

  • Share the methods, purpose and benefits of the quantitative approach to decision making
  • List and describe quantitative decision making tools
  • Define and share examples and advantages of a decision tree
  • Explain how simulation is used to analyze and solve business problems
  • Detail the history and advantages of Monte Carlo simulations
  • Discuss the meaning and models of forecasting in business
  • Describe qualitative and quantitative methods used to prepare business forecasting

8 Lessons in Chapter 5: Quantitative Tools for Decision Making
Test your knowledge with a 30-question chapter practice test
The Constructive Nature of Memory

1. The Constructive Nature of Memory

When we remember an event, is the memory an exact reproduction or is it altered by our current frame of reference? In this lesson, we'll discuss the constructive nature of memory and how the way we process information impacts decision making.

The Quantitative Approach to Decision Making: Methods, Purpose & Benefits

2. The Quantitative Approach to Decision Making: Methods, Purpose & Benefits

At the core of the quantitative approach to decision-making are the estimation of probabilities of event and their consequences. Learn more about popular quantitative methods in this lesson.

Quantitative Decision Making Tools: Decision Trees, Payback Analysis & Simulations

3. Quantitative Decision Making Tools: Decision Trees, Payback Analysis & Simulations

Successful managers use decision-making tools to analyze a problem and try to determine the best solution for that problem. Here, we will discuss three main decision-making tools and help you to understand their function and implementation.

What Is a Decision Tree? - Examples, Advantages & Role in Management

4. What Is a Decision Tree? - Examples, Advantages & Role in Management

Clearly identifying all possible solutions for a given decision is an important part of successful management. In this lesson, you will learn how to use a decision tree to identify and select possible courses of action.

Using Simulation to Analyze and Solve Business Problems

5. Using Simulation to Analyze and Solve Business Problems

This lesson covers using simulation to analyze and solve business problems. We'll learn about how simulation tools can help you to understand how a decision today can impact your company's success tomorrow.

The Monte Carlo Simulation: Scope & Common Applications

6. The Monte Carlo Simulation: Scope & Common Applications

This lesson will define Monte Carlo Simulations and briefly discuss their history and advantages, as well as how they're used to reduce the risk involved with complex decisions where outcomes are uncertain.

What is Forecasting in Business? - Definition & Models

7. What is Forecasting in Business? - Definition & Models

Being able to predict what is coming next is an invaluable skill for a business. In this lesson, we look at how businesses use forecasting to make the best possible plans for the future.

Business Forecasting: Methods & Analysis

8. Business Forecasting: Methods & Analysis

Businesses create financial forecasts for a number of variables, such as sales volume. In this lesson, you'll learn about the qualitative and quantitative methods used to prepare forecasts.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

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