# Quantitative Methods

A value for probabilistic input from a discrete probability distribution:

a. is the value given by the RAND() function.

b. is given by matching the probabilistic input with an interval of random numbers.

c. is between 0 and 1.

d. must be non-negative

Each point on the efficient frontier graph associated with the Markowitz portfolio model is the:

a. maximum possible risk for the given return.

b. minimum possible risk for the given return

c. maximum return for the least risk

d. minimum diversification for the least risk

The expected utility approach:

a. does not require probabilities

b. leads to the same decision as the expected value approach

c. is most useful when excessively large or small payoffs are possible

d. requires a decision tree

In a multicriteria decision problem:

a. it is impossible to select a single decision alternative

b. the decision maker must evaluate each alternative with respect to each criterion

c. successive decisions must be made over time

d. all of these

When consequences are measured on a scale that reflects a decision maker's attitude toward profit, loss and risk, payoffs are replaced by:

a. utility values

b. multicriteria measures

c. sample information

d. opportunity loss

https://brainmass.com/business/business-management/quantitative-methods-417368