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Decision Making - Intermediate-Advanced Level: outcome evaluation INTERMEDIATE-ADVANCED

This fundamentals focus worksheet contains 20 intermediate-advanced-level decision making problems. Worksheet 21 of 30 focuses on outcome evaluation. Practice decision criteria, logical choices, decision puzzles with our step-by-step solutions. Difficulty: advanced concepts with increasing complexity. Recommended for advanced developing learners.

📝 Worksheet 21 of 30 • 20 questions • ⏱️ Estimated time: 20 minutes • 🎯 Intermediate-advanced level

What you'll learn in this worksheet:
Your progress through Decision Making
Worksheet 21 of 30 (70% complete)

Question 1

Scenario: Selecting a candidate for promotion Criteria weights: Technical skills (30%), Leadership (30%), Experience (25%), Cultural fit (15%) Scores: Candidate P: 9/7/8/8, Candidate Q: 7/9/7/7, Candidate R: 8/8/9/9 Based on weighted multi-criteria evaluation, which option should be selected?
P=2.7+2.1+2.0+1.2=8.0; Q=2.1+2.7+1.75+1.05=7.6; R=2.4+2.4+2.25+1.35=8.4. Candidate R scores highest across all criteria.
decision, matrix, weighted-evaluation

Question 2

Decision: Pharmaceutical company setting price for life-saving drug Considering all stakeholder impacts, what is the most ethical and practical approach?
Balances profit motive with access to medicine. Differentiated pricing maximizes revenue while ensuring affordability in developing nations. This approach balances competing interests while prioritizing overall welfare.
decision, stakeholders, ethics, corporate

Question 3

Decision: Launch new product now or wait 6 months for more market research? Based on expected value analysis, what is the optimal strategy?
Launch now: 40% success → expected value = 0.4×1000 = 400. Wait: 70% success after research → expected value = 0.7×900 = 630 (accounting for 100 research cost). Higher EV makes waiting optimal.
decision, sequential, probability, expected-value

Question 4

Scenario: Selecting employee benefits package Criteria weights: Employee satisfaction (35%), Cost to company (30%), Retention impact (25%), Administrative ease (10%) Scores: Health focus: 9/5/8/7, Retirement focus: 6/8/7/8, Work-life balance: 8/7/9/6 Based on weighted multi-criteria evaluation, which option should be selected?
Health=3.15+1.5+2.0+0.7=7.35; Retirement=2.1+2.4+1.75+0.8=7.05; Work-life=2.8+2.1+2.25+0.6=7.75. Work-life package optimizes across criteria.
decision, matrix, weighted-evaluation

Question 5

Situation: A family needs to choose between buying a house in Suburb A (good schools, long commute) or Suburb B (shorter commute, average schools). What should be the primary criterion for this decision?
For a family decision, children's long-term development typically takes priority over convenience factors. Education quality has lasting impact on children's future opportunities.
decision, criteria, priorities

Question 6

Situation: Sarah has $10,000 to either: pay off credit card debt (12% interest), invest in stock market (expected 10% return), or put in savings account (2% interest) Considering opportunity costs, what is the best choice?
Paying off 12% debt provides guaranteed 12% 'return' (interest saved), which exceeds the expected 10% stock market return and is risk-free. The opportunity cost of not paying debt is 12% interest accrual.
decision, opportunity-cost, trade-offs

Question 7

Situation: A company must decide between expanding to Location A (high rent, skilled workforce) or Location B (low rent, requires training employees). What should be the primary criterion for this decision?
This considers the strategic impact beyond immediate costs. Even with higher rent, a skilled workforce and better market access can generate higher returns, making growth potential the primary criterion.
decision, criteria, priorities

Question 8

Situation: Factory fire with 50 workers inside. You can either: try to extinguish fire (30% success, 10 minutes, saves all) or evacuate (100% success, 5 minutes, saves 40 workers). What is the best decision in this emergency situation?
Expected value: Extinguish = 50×0.3 = 15 expected saved; Evacuate = 40 guaranteed saved. Guarantee of 40 saved is better than 15 expected.
decision, emergency, crisis, time-critical

Question 9

Situation: Investment decision for conservative investor nearing retirement (5 years from retirement) Considering risk assessment, what is the most appropriate decision?
For a conservative investor nearing retirement, capital preservation is paramount. Government bonds provide guaranteed returns with zero loss risk, aligning with the short time horizon and risk tolerance.
decision, risk, uncertainty, investment

Question 10

Decision: Company considering automation that will eliminate 200 jobs but increase efficiency by 40% Considering all stakeholder impacts, what is the most ethical and practical approach?
Balances efficiency gains with social responsibility. Saves 100 jobs while improving efficiency, providing transition support for affected workers. This approach balances competing interests while prioritizing overall welfare.
decision, stakeholders, ethics, corporate

Question 11

Situation: Career decision for mid-level professional with family responsibilities (sole earner, 2 children) Considering risk assessment, what is the most appropriate decision?
As sole earner with family responsibilities, income stability is critical. The downside risk of startup failure (50%) or business failure (70%) is too high given family obligations.
decision, risk, uncertainty, investment

Question 12

Situation: A student needs to choose between two summer programs: Program A costs $2000, lasts 6 weeks, and provides college credit. Program B costs $1200, lasts 4 weeks, and offers internship experience. What should be the primary criterion for this decision?
This addresses the fundamental value proposition of each program's outcomes. College credit provides long-term academic value, while internship offers immediate practical experience. The choice depends on career goals, making this the primary criterion.
decision, criteria, priorities

Question 13

Situation: John has 4 hours of free time: study for exam (improve grades), work part-time job (earn $60), or exercise and relax (improve health) Considering opportunity costs, what is the best choice?
Long-term academic success typically has higher lifetime value than $60 or immediate health benefits. The opportunity cost of studying is short-term earnings, but education ROI justifies this choice.
decision, opportunity-cost, trade-offs

Question 14

Situation: Medical treatment decision for 75-year-old patient with heart condition Considering risk assessment, what is the most appropriate decision?
For an elderly patient, balancing success rate with mortality risk is key. Medication offers reasonable success (60%) with low mortality (5%), avoiding surgical risks while providing meaningful improvement.
decision, risk, uncertainty, investment

Question 15

Scenario: Choosing a marketing strategy for product launch Criteria weights: Reach (30%), Engagement (30%), Cost (25%), Speed (15%) Scores: Digital: 9/8/7/9, Traditional: 6/7/8/5, Hybrid: 8/9/6/8 Based on weighted multi-criteria evaluation, which option should be selected?
Digital weighted=2.7+2.4+1.75+1.35=8.2; Traditional=1.8+2.1+2.0+0.75=6.65; Hybrid=2.4+2.7+1.5+1.2=7.8. Digital scores highest, but Hybrid balances all factors.
decision, matrix, weighted-evaluation

Question 16

Situation: Technology adoption decision for traditional manufacturing company Considering risk assessment, what is the most appropriate decision?
Partial automation balances risk and reward - moderate investment ($800k) with good efficiency gain (40%) and acceptable failure risk (15%). Full automation's 30% failure risk on $2M is too high for traditional company.
decision, risk, uncertainty, investment

Question 17

Situation: Investment decision for conservative investor nearing retirement (5 years from retirement) Considering risk assessment, what is the most appropriate decision?
For a conservative investor nearing retirement, capital preservation is paramount. Government bonds provide guaranteed returns with zero loss risk, aligning with the short time horizon and risk tolerance.
decision, risk, uncertainty, investment

Question 18

Situation: A professional can either: take a promotion with 20% raise but 10 hours more work weekly, or start a side business with potential for 50% income increase but high failure risk Considering opportunity costs, what is the best choice?
Promotion offers guaranteed 20% raise with known trade-offs. Side business has high failure risk (typically 50%+). The opportunity cost of not taking promotion is guaranteed income loss for uncertain gain.
decision, opportunity-cost, trade-offs

Question 19

Situation: A farmer with limited land can either: grow wheat (guaranteed $5000 profit), grow organic vegetables (potential $8000 profit, 40% crop failure risk), or lease land to solar company (guaranteed $6000) Considering opportunity costs, what is the best choice?
Expected value of vegetables = $8000 × 0.6 = $4800, which is less than guaranteed $5000 from wheat. Solar lease gives $6000 guaranteed, making it optimal considering risk.
decision, opportunity-cost, trade-offs

Question 20

Situation: Business expansion decision for cash-strapped startup with limited runway (6 months of cash left) Considering risk assessment, what is the most appropriate decision?
With only 6 months runway, survival is priority. Maintaining current operations gives 90% survival chance with minimal investment, avoiding overextension risk.
decision, risk, uncertainty, investment
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