Decision Making: Part II

02.07.15 @ 11:59PM

 

THIS is what I need you to do –> Review the post 1 below and answer the following questions: What would be the different states of nature? What would be the different alternatives? How would their decision table look like?

 

Post 1: Give an example of a good decision that you made that resulted in a bad outcome. Also give an example of a bad decision that had a good outcome. Why was each decision good or bad?

An example of a good decision that I made that resulted in bad was then I was a whistleblower. I worked as an executive assistant for a drilling company and discovered my boss was embezzling from the company. The head of the AR department and I discovered the discrepancies during an internal audit. Long story short, we told the CEO and he ended up firing my boss and the person hired to replace her ended up deciding to “eliminate” my position.  The decision to be a whistleblower was a good decision because what she was doing was completely unethical and if I had kept my mouth shut, I would have been part of the problem and just as guilty.

A bad decision I made that had a good outcome was getting pregnant in high school. I was young and not at all in a position to raise a child. But, I did and he turned out to be the best thing that ever happened to me. The decision was bad, because I was still a kid myself. Nevertheless, I worked hard as a single mom and raised a very good kid. He is a million times better than I was at his age. We also have a special bond since we kind of grew up together.  I am very lucky. In addition, I am still in my early 30’s and my son will be 18 in a few months. Most of my friends are barely starting to have kids and mine is already heading to college. It is kind of nice, but at the same time I am WAY too young to be going through “empty nest syndrome”.

 

THIS is what I need you to do –> Review the post 2 below and answer the following: Select one of the mathematical decision theory models that could have been used to analyze the situation.

 

Post 2: Give an example of a situation in your life where you can identify an opportunity loss. Explain why this was an opportunity loss and any implications it may have had on future decisions.

A few years ago, the market for houses was really high.  I told my husband that we should consider selling our house while the market was high, rent for a little while, and then when the market came down, we could buy a better house in a better neighborhood for much less.

We talked about it, but since we had seen the market going up and up, we didn’t act.  Obviously, the market dropped – hard.  We hadn’t sold the house, and we were under water on the home.  We are still in the same house, which is fine – it’s a nice home, and the value has recovered some to where we aren’t under water any more – but I often think about “what might have been” if we had acted when we were talking about it.  I think we would be much better off financially, but since we aren’t in a really bad spot now, it has all worked out OK.  I think we had a very large opportunity loss in this situation, and now that the market is recovering slightly, we are talking about it again.  I’m still watching the economy closely, and will try to make an educated and timely decision this time.

 

Document Requirements:

Use standard 12-point font size

MS Word Document 

3/4-1 page paper PER Post – there’s two post(Nothing less then 3/4 of a page and nothing more then 1-page necessary)

1-2 sources in APA citation PER Post – there’s two post(I willn’t need anymore then 3 sources for sure)

Thorough Response is a must!!

And NO plagiarism!!

 

 

 

*Homework Field of Study: Business Statistics

If you don’t have any expertise in this area of study please don’t waste my time sending a handshake.