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Choose the one alternative that best completes the statement or answers the
question.
1) The decision-making process concludes with 1) _______
A) identification of decision criteria.
B) analysis of alternatives.
C) identification of a problem.
D) evaluation of decision effectiveness.
2) Price, size, gas mileage, color, options, and repair records are examples of which of the following when
purchasing a new car? 2) _______
A) factor weights B) decision criteria
C) scenarios D) problems
Use the information below to answer the following questions.
Application of Decision-Making Styles
Jeremy has noticed that the people within his organization make decisions in very different ways. Jackie is
rational and has a low tolerance for ambiguity. She is efficient and generally makes decisions that are
applicable to the short term. Andy tends to be very broad in his outlook and looks at many alternatives
before making a decision. He generally focuses on the long term. Alexandra thinks intuitively and works
well with others. She is open to suggestions and concerned about her coworkers. Jeremy himself wants to
have complete information before making a decision and always carefully considers many alternatives.
3) Every decision maker in Jeremy's organization brings a unique set of ________ to his or her problem
solving efforts. 3) _______
A) preconceived notions B) personal characteristics
C) brain patterns D) experiences
4) The basic premise for the decision-making model is that individuals differ along two dimensions 4)
_______
A) experience and communication skills.
B) degree of risk preference and position within the organizational hierarchy.
C) way they think and tolerance for ambiguity.
D) personality and attention to detail.
5) "Good" decisions are expected to 5) _______
A) produce "good" results.
B) be made quickly.
C) appear to follow the rational process.
D) earn promotions for decision makers.
6) Once a manager has identified a problem, the ________ that will be important in solving the problem
must be identified. 6) _______
A) decision criteria B) scenarios
C) factor weights D) discrepancies
7) Group decisions provide ________ information than do individual ones. 7) _______
15) Problems where information is ambiguous or incomplete are which type of problem? 15) ______
A) well-structured B) nonprogrammed
C) ill-structured D) programmed
16) Which of the following is not a decision-making style formed by analyzing decision makers on
dimensions of the way they think and their tolerance for ambiguity? 16) ______
A) directive B) heuristical C) analytic D) conceptual
17) "No smoking allowed" is an example of which of the following? 17) ______
A) rule B) procedure
C) policy D) nonprogrammed decision
18) In many cases, managers engage in ________ in an effort to prove that their initial decision was not
wrong. 18) ______
A) escalation of commitment
B) nonprogrammed decision making
C) representative heuristic
D) availability heuristic
19) Choosing the best alternative is a relatively simple matter if we have done a good job in assigning
________ in step five. 19) ______
A) the right decision maker B) the highest weighted score
C) the weighted criteria correctly D) none of the above
20) How do managers know when they have a disparity or discrepancy in the decision-making process?
The best way is to compare their current state and some standard. Which of the following would not be a
relevant standard? 20) ______
A) use future projections
B) the performance of some unit in or out of the organization
C) previously set goals
D) past performance
21) A method that can be used to overcome the tendency toward conformity in group decision making is
which of the following? 21) ______
A) nominal group technique B) groupthink
C) brainstorming D) electronic meetings
22) When decisions must be made with limited information because full knowledge of the problem is
unavailable and the probability of outcomes is unknown, the condition of ________ exists. 22) ______
A) bounded rationality B) risk
C) uncertainty D) certainty
23) The cultural environment affects decisions made by managers. Which of the following is not correct?
23) ______
A) In Germany, organizations are flexible and organic.
B) In India, very senior managers make decisions.
C) In Egypt, time pressures are low.
D) In Italy, managers rely on tried or proven alternatives.
24) Lon authorizes an additional $100,000 for the production of the new product. The cost of the new
product seems to be increasing far beyond what was planned or even forecast. However, Lon continues
to support the project. Lon is engaging in 24) ______
A) representative heuristic. B) escalation of commitment.
C) availability heuristic. D) optimal decision making.
25) Which of the following is not a method where the group can improve decision making? 25) ______
A) groupthink B) brainstorming
C) electronic meetings D) nominal group technique
Use the information below to answer the following questions.
Application of the Decision-Making Process
Net income has fallen for the second quarter, and Amanda is understandably worried. She knows at the
board of directors meeting on Wednesday she will be closely questioned and expected to have a plan to
avoid any third-quarter losses. Amanda begins to read slowly over the financial documents to try and
ascertain areas that may be the cause.
After much consideration, it appears that expenses have risen
dramatically over the last few months. Amanda wonders why. She decides a meeting of the department
heads is in order first thing tomorrow morning. At the meeting, Amanda would like to generate several
possible solutions to the increased expenses. She wonders how to effectively explore all the options. At the
meeting, the first option that is discussed is to downsize the research and development department since it
is not essential to current operations. Several managers approve this plan. Amanda suggests that they need
to look further at the issue. Several suggestions are made, many of which appear to be viable. Amanda
wonders what to do next.
26) What is the first step in the decision-making process facing Amanda? 26) ______
A) Assignment of weights to the decision criteria.
B) Identification of the real problem.
C) Identification of the decision criteria.
D) Selection of an alternative that will solve the problem.
27) The decision-making model consists of four styles directive, analytic, behavioral, and ________. 27)
______
A) group interaction B) laggard
C) intuitive D) conceptual
28) A problem with groupthink is that no one is actually in charge of making the final decision or outcome,
which results in ________. 28) ______
A) role ambiguity B) ambiguous delegation
C) ambiguous responsibility D) role incoherence
Use the information below to answer the following questions.
Application of the Decision-Making Process
Net income has fallen for the second quarter, and Amanda is understandably worried. She knows at the
board of directors meeting on Wednesday she will be closely questioned and expected to have a plan to
avoid any third-quarter losses. Amanda begins to read slowly over the financial documents to try and
ascertain areas that may be the cause.
After much consideration, it appears that expenses have risen
dramatically over the last few months. Amanda wonders why. She decides a meeting of the department
heads is in order first thing tomorrow morning. At the meeting, Amanda would like to generate several
possible solutions to the increased expenses. She wonders how to effectively explore all the options. At the
meeting, the first option that is discussed is to downsize the research and development department since it
is not essential to current operations. Several managers approve this plan. Amanda suggests that they need
to look further at the issue. Several suggestions are made, many of which appear to be viable. Amanda
wonders what to do next.
29) What should Amanda do after the problem is defined? 29) ______
A) Assign weights to the decision criteria.
B) Identify the real problem.
C) Select an alternative that will solve the problem.
D) Identify the decision criteria.
30) The next step beyond expert systems is ________,which use computer software to imitate the structure
of brain cells and connections among them. An example is sophisticated robots being used for their
intelligence. 30) ______
A) organic networks B) interfaced networks
C) cellular networks D) neural networks
31) Which of the following is an assumption of rationality? 31) ______
A) Multiple goals are to be achieved.
B) All alternatives and consequences are clear.
C) The problem is ambiguous.
D) Time and cost constraints are known.
32) The first step in the decision-making process is which of the following? 32) ______
A) Identify decision criteria. B) Identify the problem.
C) Analyze alternatives. D) Develop the alternatives.
Use the information below to answer the following questions.
Application of the Decision-Making Process
Net income has fallen for the second quarter, and Amanda is understandably worried. She knows at the
board of directors meeting on Wednesday she will be closely questioned and expected to have a plan to
avoid any third-quarter losses. Amanda begins to read slowly over the financial documents to try and
ascertain areas that may be the cause.
After much consideration, it appears that expenses have risen
dramatically over the last few months. Amanda wonders why. She decides a meeting of the department
heads is in order first thing tomorrow morning. At the meeting, Amanda would like to generate several
possible solutions to the increased expenses. She wonders how to effectively explore all the options. At the
meeting, the first option that is discussed is to downsize the research and development department since it
is not essential to current operations. Several managers approve this plan. Amanda suggests that they need
to look further at the issue. Several suggestions are made, many of which appear to be viable. Amanda
wonders what to do next.
33) Once alternatives have been identified, the decision maker must critically analyze the ________ and
________ of each one, which become evident as they are compared with the criteria and weights
established in steps 2 and 3. 33) ______
A) cost; effect B) strengths; weaknesses
C) image; profits D) potential; cost
34) The tendency for people to base judgments of probability on things with which they are familiar is
known as which of the following? 34) ______
A) availability heuristic B) optimal decision making
C) escalation of commitment D) representative heuristic
35) The fact that managers make consistent, value-maximizing choices within specified constraints is
known as which of the following? 35) ______
A) implementation of the alternative
B) decision implementation
C) irrational decision making
D) rational decision making
36) Jane just conducted the performance appraisals of five of her employees. Her appraisal was heavily
influenced by the performance of the individuals during the last month. Jane's bias is an example of 36)
______
A) optimal decision making. B) representative heuristic.
C) escalation of commitment. D) availability heuristic.
37) A variation of the electronic meeting that links together media from different locations is 37) ______
A) video conference. B) the Delphi technique.
C) e-commerce. D) e-conference.
38) In her 15 years working for the hardware store, a customer comes in with a request Jan has never heard
before. Since it deals with the application of a new technology, Jan is not sure what to do. This is an
example of a(n) ________ problem. 38) ______
A) nonprogrammed B) programmed
C) well-structured D) ill-structured
39) When the petty cash in Elaine's drawer falls to less than $25, she places a request for additional funds
to bring the total back to $100. This is an example of a(n) ________ decision. 39) ______
A) programmed B) well-structured
C) nonprogrammed D) ill-structured
40) ________ is a form of conformity whereby group members withhold information or discussion in
order to give the appearance of agreement. 40) ______
A) Groupthink B) Minority domination
C) Group conformity D) Group domination
41) Which of the following group techniques allows group members to meet together but allows
independent thinking? 41) ______
A) brainstorming B) electronic meetings
C) groupthink D) nominal group technique
42) "Before a health claim may be paid, the following steps must be taken," is an example of a 42)
______
A) rule. B) procedure.
C) policy. D) nonprogrammed decision.
43) Jill has just been given the assignment of developing the marketing strategy for the company's new
product to be released at Christmas. What type of decision making will be required of Jill? 43) ______
A) well-structured B) ill-structured
C) programmed D) nonprogrammed
44) Which of the following styles of decision making is characterized by individuals who prefer complete
information and consider several alternatives? 44) ______
A) analytic B) behavioral C) directive D) conceptual
45) Intrinsic task motivation turns creativity potential into actual creative ideas. This is the desire to work
on something because it is interesting, involving, exciting, satisfying, or ________. 45) ______
A) financially rewarding B) must be done
C) personally challenging D) expected of us
46) A simple approach to assigning weights to criteria is to assign the most important criteria the highest
weight and then 46) ______
A) assign equal weights to the rest of the criteria.
B) assign weights to the rest based upon their degree of importance in comparison.
C) disregard the rest of the criteria since they are not as important.
D) weighting is not needed in developing criteria.
47) Lower-level managers are more likely to confront which type of problems? 47) ______
A) well-structured B) ill-structured
C) programmed D) nonprogrammed
48) Tim is the department chair of a local college. He is preparing the fall schedule of classes. He knows
approximately how many students will be in the classes from the preregistration that is required. He also
knows how many faculty members are available and which classes they can teach.
As he prepares
the fall schedule of classes, unless something extraordinary occurs, he is operating under the condition of
48) ______
A) risk. B) certainty.
C) uncertainty. D) probability.
49) When a manager engages in behaviors that speed up the decision-making process in order to avoid
information overload, he is engaging in judgmental shortcuts or 49) ______
A) heuristics. B) bounded rationality.
C) uncertainty. D) unbounded rationality.
50) Straightforward, familiar, easily-defined problems, where the information is complete are ________
problems. 50) ______
A) well-structured B) ill-structured
C) nonprogrammed D) programmed
51) Which of the following is not true about group decisions? 51) ______
A) Group decisions are more creative.
B) Group decisions tend to be more accurate.
C) Group decisions are more widely accepted.
61) ________ implies that the outcome of every alternative was known. 61) ______
A) Bounded rationality B) Uncertainty
C) Unbounded rationality D) Certainty
Use the information below to answer the following questions.
Application of Decision Making A Contingency Approach
It seems that all Dave accomplishes is making decisions. Every time he turns around, someone wants him
to decide on one more thing. Just today the secretary came in and asked if she could reorder paper for the
fax machine. Somehow that seemed like a decision he really did not need to deal with. If he could avoid
those types of decisions, then when the foreman came in with the news of a major piece of equipment that
needs repair, in which the repair bill will be almost as much as a new machine, Dave could focus more time
and attention on the more complicated issues.
62) Situations that are well-structured problems align closely with the assumptions underlying ________.
62) ______
A) representative heuristic B) available heuristic
C) escalation of commitment D) perfect rationality
63) Which of the following is the most effective number of people to have in a group? 63) ______
A) 3-12 B) 5-7 C) 3-7 D) 2-10
Use the information below to answer the following questions.
Application of Decision Making A Contingency Approach
It seems that all Dave accomplishes is making decisions. Every time he turns around, someone wants him
to decide on one more thing. Just today the secretary came in and asked if she could reorder paper for the
fax machine. Somehow that seemed like a decision he really did not need to deal with. If he could avoid
those types of decisions, then when the foreman came in with the news of a major piece of equipment that
needs repair, in which the repair bill will be almost as much as a new machine, Dave could focus more time
and attention on the more complicated issues.
64) Dave should be spending more time making ________ decisions and less time making ________
decisions. 64) ______
A) nonprogrammed; programmed B) rule; policy
C) programmed; nonprogrammed D) programmed; policy
65) Which of the following is not an advantage of group decision making over individual decision
making? 65) ______
A) more complete information
B) increased acceptance of the decision
C) fewer alternatives due to groupthink
D) increased legitimacy
Use the information below to answer the following questions.
Application of Decision-Making Styles
Jeremy has noticed that the people within his organization make decisions in very different ways. Jackie is
rational and has a low tolerance for ambiguity. She is efficient and generally makes decisions that are
applicable to the short term. Andy tends to be very broad in his outlook and looks at many alternatives
before making a decision. He generally focuses on the long term. Alexandra thinks intuitively and works
well with others. She is open to suggestions and concerned about her coworkers. Jeremy himself wants to
have complete information before making a decision and always carefully considers many alternatives.
66) The conceptual style of decision making is preferred by 66) ______
A) Alexandra. B) Andy. C) Jeremy. D) Jackie.
67) Group decisions tend to be 67) ______
A) more accurate. B) made more quickly.
C) more efficient. D) less creative.
68) Joseph Hayes is explaining creative-thinking skills to his crew at work. Which of the following would
he include? 68) ______
A) the ability to use analogies
B) the personality characteristics associated with creativity
C) the talent to see the familiar in a different light
D) all of the above
69) The last step in the decision-making process is to 69) ______
A) evaluate the decision effectiveness.
B) identify the decision criteria.
C) implement the alternative.
D) analyze the alternatives.
70) Kay based the forecasted sales figure of the new product on last year's sales figures from a previous
product. Kay is engaging in which of the following? 70) ______
A) escalation of commitment B) representative heuristic
C) optimal decision making D) availability heuristic
71) The process of assigning probabilities to outcomes that may occur is known as 71) ______
A) risk. B) rounded rationality.
C) certainty. D) uncertainty.
Use the information below to answer the following questions.
Application of Decision-Making Styles
Jeremy has noticed that the people within his organization make decisions in very different ways. Jackie is
rational and has a low tolerance for ambiguity. She is efficient and generally makes decisions that are
applicable to the short term. Andy tends to be very broad in his outlook and looks at many alternatives
before making a decision. He generally focuses on the long term. Alexandra thinks intuitively and works
well with others. She is open to suggestions and concerned about her coworkers. Jeremy himself wants to
have complete information before making a decision and always carefully considers many alternatives.
72) Jeremy's decision-making style can be characterized as 72) ______
A) conceptual. B) behavioral. C) directive. D) analytic.
entirely of her own. Jill turns in the timecards weekly, and Jerri has seen her more than once override the
time clock and clock somebody in earlier than they actually arrived or clock out for them when the
employee left work early. When Jerri questioned her about it, Jill just laughed and said that they had been
doing it for years and the time all averaged out. The company allowed no overtime so any extra time
employees spent at work was never compensated. Jerri sometimes wonders if she has any power at all.
87) Which type of power is not displayed in Jerri's organization? 87) ______
A) expert B) reward C) referent D) coercive
88) Those managers whose organizational function contributes directly to the achievement of
organizational objectives have 88) ______
A) staff authority. B) line authority.
C) span of control. D) responsibility.
89) Joan Woodward found that the effectiveness of organizations was related to "fit" between ________
and structure. 89) ______
A) corporate culture B) technology
C) product life cycle D) personality
90) French and Raven identified five sources, or bases, of power. Which of the following is not included?
90) ______
A) referent B) influence C) coercive D) expert
91) The simple structure form of organization is fast, flexible, and inexpensive to maintain, and
accountability is clear. It is effective in ________ organizations. 91) ______
A) small B) organic
C) small corporation D) mechanistic
92) The strength of the divisional structure is which of the following? 92) ______
A) It focuses on results.
B) It is based solely on teams.
C) Employees have more than one boss.
D) It gains advantages due to work specialization.
93) The pushing down of decision-making authority to the lowest levels of an organization is known as
which of the following? 93) ______
A) acceptance theory B) span of control
C) decentralization D) centralization
94) An organization that uses technology which is nonroutine, will probably find which structure to be
most effective? 94) ______
A) bureaucracy B) strategic organization
C) organic organization D) mechanistic organization
95) It is not necessary to have authority in order to wield power because an individual can move ________
toward the power core without moving up. 95) ______
A) horizontally downward B) horizontally inward
C) directly upward D) directly downward
96) An office supply firm that has three departments based upon retail, wholesale, and governmental
customers is using which of the following types of departmentalization? 96) ______
A) customer B) geographic C) functional D) product
97) A structure that is low in specialization, formalization, and centralization is which of the following?
97) ______
A) strategic organization B) organic organization
C) bureaucracy D) mechanistic organization
98) Stanley Milgram, a Yale University social psychologist, performed an experiment in which subjects
were instructed to administer a shock to learners when they made a mistake. What can be concluded from
his experiments? 98) ______
A) The base of the experimenter's power determines the subject's response to instructions.
B) A subject's stage of moral development can be used to explain his or her response to being directed to
shock the learners.
C) Authority is a potent source for getting things done.
D) Most subjects refused to shock the learner on the basis of ethical considerations.
Use the information below to answer the following questions.
Application of Departmentalization
John is aware that the structure of his organization must change in order to compete more effectively in
today's global market. However, he is not sure which structure would work best for his company. His
company is currently organized around accounting, human resource, sales, purchasing, and manufacturing
departments. However, there are other choices available. He has considered reorganizing around their
primary products, which are frames, silk flowers, dried flowers, art supplies, craft supplies, and material.
However, equally important are the differing clientele they serve, who are homemakers that do arts/crafts,
interior decorators, large institutions, and professional consultants. Since the business is growing, they now
have stores across the United States primarily in the Northwest, Midwest, South, and Southwest areas. Plus,
his customers seldom shop for just one type of item. Frequently they purchase not only the flowers, but also
the vases and other supplies that are needed in order to complete the arrangement, which means oftentimes
shopping in most of the areas in the store.
99) Which of the following departmental structures would be used if the grouping were based on work or
customer flow? 99) ______
A) process departmentalization
B) customer departmentalization
C) functional departmentalization
D) geographic departmentalization
100) Julie's organization has a very formal structure with strict lines of communication where there are
many rules and duties are fixed. This is an example of which of the following? 100) ______
A) mechanistic organization B) advocacy
C) organic organization D) strategic organization
Use the information below to answer the following questions.
Application of Departmentalization
John is aware that the structure of his organization must change in order to compete more effectively in
today's global market. However, he is not sure which structure would work best for his company. His
company is currently organized around accounting, human resource, sales, purchasing, and manufacturing
departments. However, there are other choices available. He has considered reorganizing around their
primary products, which are frames, silk flowers, dried flowers, art supplies, craft supplies, and material.
However, equally important are the differing clientele they serve, who are homemakers that do arts/crafts,
interior decorators, large institutions, and professional consultants. Since the business is growing, they now
have stores across the United States primarily in the Northwest, Midwest, South, and Southwest areas. Plus,
his customers seldom shop for just one type of item. Frequently they purchase not only the flowers, but also
the vases and other supplies that are needed in order to complete the arrangement, which means oftentimes
shopping in most of the areas in the store.
101) What is one of the most popular ways to group activities/departmentalize that John could model
after? 101) ______
A) customer B) functional C) geographic D) product
102) ________ is a process by which managers develop or change the structure of their company. 102)
______
A) Technological design B) Quality design
C) Management design D) Organization design
103) Early writers favored a span of control that was no more than 103) ______
A) six. B) four. C) eight. D) two.
Use the information below to answer the following questions.
Application of Departmentalization
John is aware that the structure of his organization must change in order to compete more effectively in
today's global market. However, he is not sure which structure would work best for his company. His
company is currently organized around accounting, human resource, sales, purchasing, and manufacturing
departments. However, there are other choices available. He has considered reorganizing around their
primary products, which are frames, silk flowers, dried flowers, art supplies, craft supplies, and material.
However, equally important are the differing clientele they serve, who are homemakers that do arts/crafts,
interior decorators, large institutions, and professional consultants. Since the business is growing, they now
have stores across the United States primarily in the Northwest, Midwest, South, and Southwest areas. Plus,
his customers seldom shop for just one type of item. Frequently they purchase not only the flowers, but also
the vases and other supplies that are needed in order to complete the arrangement, which means oftentimes
shopping in most of the areas in the store.
104) The current structure that is being used is which of the following? 104) ______
A) functional departmentalization
B) product departmentalization
C) customer departmentalization
D) geographic departmentalization
105) The grouping of activities by common customers would be ________ departmentalization. 105)
______
A) geographic B) product C) functional D) customer
Use the information below to answer the following questions.
Application of Departmentalization
John is aware that the structure of his organization must change in order to compete more effectively in
today's global market. However, he is not sure which structure would work best for his company. His
company is currently organized around accounting, human resource, sales, purchasing, and manufacturing
departments. However, there are other choices available. He has considered reorganizing around their
primary products, which are frames, silk flowers, dried flowers, art supplies, craft supplies, and material.
However, equally important are the differing clientele they serve, who are homemakers that do arts/crafts,
interior decorators, large institutions, and professional consultants. Since the business is growing, they now
have stores across the United States primarily in the Northwest, Midwest, South, and Southwest areas. Plus,
his customers seldom shop for just one type of item. Frequently they purchase not only the flowers, but also
the vases and other supplies that are needed in order to complete the arrangement, which means oftentimes
shopping in most of the areas in the store.
106) Which of the following departmental structures would be used if the grouping were based on the
areas served in the United States? 106) ______
A) functional departmentalization
B) product departmentalization
C) customer departmentalization
D) geographic departmentalization
107) A component of organization structure that involves having each discrete step of a job done by a
different individual rather than having one individual do the whole job is known as 107) ______
A) span of control. B) chain of command.
C) work specialization. D) departmentalization.
108) The grouping of activities by work or customer flow is which of the following? 108) ______
A) functional departmentalization
B) process departmentalization
C) geographic departmentalization
D) customer departmentalization
109) The characteristic of organization culture that describes the degree to which the organization monitors
and responds to changes in the external environment is termed 109) ______
A) control. B) means-end orientation.
C) open-systems focus. D) unit integration.
110) An organization where decisions are made by those employees closest to the problems is using which
type of decision-making authority? 110) ______
A) acceptance theory B) span of control
C) centralization D) decentralization
111) Jim has the ability to "dock" paychecks of employees who arrive at work past 905 AM. What kind of
power does Jim possess? 111) ______
A) expert power B) referent power
C) legitimate power D) coercive power
112) An organization that is low in specialization and formalization, but high in centralization is known as
a 112) ______
D) All roles are needed in order for the team to be most effective.
151) A(n) ________ is a team player who is a good listener and encourages team members to seek
additional information before making decisions. 151) ______
A) thruster-organizer B) reporter-advisor
C) creator-innovator D) upholders-maintainer
152) Mature teams are particularly prone to 152) ______
A) high levels of performance.
B) effective communication.
C) continuing innovative solutions.
D) groupthink.
Use the information below to answer the following questions.
Application of Team Roles
Sarah has just returned from a seminar dealing with the research of Margerison and McCann where the
roles of work team members was discussed. She is enthusiastic as she sets down to select members for the
new team she is developing. Hopefully Sarah can avoid some problems of past teams by selecting
individuals to fill the roles needed by the work team. Jim comes to mind immediately. He is one of the most
imaginative people Sarah knows. He continuously comes up with new and novel ideas; however, he is very
independent and likes to work at his own pace. Ruby, on the other hand, has an extreme concern for
following policies and rules. She is excellent at examining details and making sure all the facts and figures
will work. Putting those two together on a team, though, may pose some interpersonal problems since they
are so different. Then there is Shane. He always has such strong convictions about how things should be
done. However, he will protect the group from outsiders and go to battle for them. He will help provide
team stability.
153) Who will act in the role of explorer-promoter? 153) ______
A) Jim B) Shane
C) Ruby D) none of them
Use the information below to answer the following questions.
Application of Characteristics of High-Performance Work Teams
Richard knew that just switching to teams was not going to necessarily increase productivity. He knew that
there were some characteristics he needed to ensure that the group possessed in order for the group to be
most effective. Richard knew that the group members needed the requisite technical skills but wondered if
there were any other skills he needed to ensure every group member also had. He knew the group must be
willing to put aside individual goals and focus on the success of the team goals. He also knew the group
would need to be characterized by dedication to the team's goals and a willingness to expend extraordinary
amounts of energy in order to achieve the goals. Some individual work skills would have to be readjusted
in order to benefit the team.
154) Richard knew that effective leadership could help a team through difficult situations by 154) ______
A) job-morphing.
B) clarifying goals.
C) making the decision for the group.
D) representing top management in having final authority over all group actions.
155) Since teams tend to be flexible and continuously making adjustments, team members also need
________ skills. 155) ______
A) technical B) technological
C) groupthink D) negotiating
156) Teams typically outperform individuals when the tasks being done require all of the following except
156) ______
A) experience. B) multiple skills.
C) quick decisions. D) judgment.
Use the information below to answer the following questions.
Application of Stages of Team Development
Shannon had never been a member of a team before. Her organization had always highly valued individual
effort. Consequently, the switch to teams had been difficult. Furthermore, there had been no training in
team development, and right now, Shannon was not certain they were ever going to get past this current
stage of continuous intragroup conflict. There was a lot of conflict over who was going to lead the team.
Once everyone had thought of themselves as part of the team, not just a group of individuals, Shannon had
thought things would start to get better. That first stage had been very difficult, but now the second stage
seemed no better. Shannon wondered if they would ever reach a stage of cohesiveness where close
relationships would start to develop. Furthermore, at this point she was not sure they would ever get to the
point of actually performing the task they had been set up for, which was to work across functions to
develop a new piece of surgical equipment. Since the team was to be disbanded in two years, Shannon was
afraid they were going to spend their whole two years becoming a team and would never actually develop
the new equipment.
157) Which of the following best describes this group of individuals? 157) ______
A) work group B) problem-solving team
C) quality circle D) work team
158) Teams permit entrepreneurs the ability to tap into the ________ of the venture's employees. 158)
______
A) pocket book B) firms
C) market place D) collective wisdom
159) It's normal for new teams to begin by taking on those issues and problems they can most easily
handle. As time passes and more difficult issues arise, what happens? 159) ______
A) This causes the team to break up.
B) The team is coordinated by this time and these problems help the team.
C) This is good for the team because it gives them a challenge.
D) This causes big problems.
160) The challenge of creating team players will be less demanding when 160) ______
A) the national culture values collectivism.
B) the national culture is highly individualistic.
C) teams are used in established organizations that have traditionally valued individual achievement.
D) teams are not used in the original organizational infrastructure.
161) Which of the following types of teams results in supervisory positions taking on decreased
importance and sometimes being eliminated? 161) ______
A) problem-solving teams B) functional teams
C) quality circles D) self-managed teams
162) Entrepreneurial firms use teams because they facilitate to the technology and ________ the
organization is facing. 162) ______
A) market demands B) specialty
C) empowerment D) function
163) Three types of teams appear to be common in entrepreneurial ventures. Which is not one of these
teams? 163) ______
A) empowered functional teams B) performing teams
C) self-directed teams D) cross-functional teams
Use the information below to answer the following questions.
Application of Team Roles
Sarah has just returned from a seminar dealing with the research of Margerison and McCann where the
roles of work team members was discussed. She is enthusiastic as she sets down to select members for the
new team she is developing. Hopefully Sarah can avoid some problems of past teams by selecting
individuals to fill the roles needed by the work team. Jim comes to mind immediately. He is one of the most
imaginative people Sarah knows. He continuously comes up with new and novel ideas; however, he is very
independent and likes to work at his own pace. Ruby, on the other hand, has an extreme concern for
following policies and rules. She is excellent at examining details and making sure all the facts and figures
will work. Putting those two together on a team, though, may pose some interpersonal problems since they
are so different. Then there is Shane. He always has such strong convictions about how things should be
done. However, he will protect the group from outsiders and go to battle for them. He will help provide
team stability.
164) Shane is well suited to the team role of 164) ______
A) controller-inspector. B) reporter-advisor.
C) assessor-developer. D) upholder-maintainer.
165) The team role of ________ overlaps the others and can be assumed by actors in any of the other eight
roles. 165) ______
A) adviser B) maintainer C) creator D) linker
166) The ________ stage of team development is complete when members have begun to think of
themselves as part of a team. 166) ______
A) forming B) performing C) norming D) storming
Use the information below to answer the following questions.
Application of Characteristics of High-Performance Work Teams
Richard knew that just switching to teams was not going to necessarily increase productivity. He knew that
there were some characteristics he needed to ensure that the group possessed in order for the group to be
most effective. Richard knew that the group members needed the requisite technical skills but wondered if
there were any other skills he needed to ensure every group member also had. He knew the group must be
willing to put aside individual goals and focus on the success of the team goals. He also knew the group
would need to be characterized by dedication to the team's goals and a willingness to expend extraordinary
amounts of energy in order to achieve the goals. Some individual work skills would have to be readjusted
in order to benefit the team.
167) The final condition for Richard's team to be effective is to have a ________ by being provided
internally with a sound infrastructure. 167) ______
A) job morphing B) good communication flow
C) supportive climate D) spirit of fair play
168) ________ like to take new ideas and champion their cause. 168) ______
A) Explorer-promoters B) Concluder-producers
C) Assessor-developers D) Creator-innovators
169) In a ________ team, members use technological advances like conference calls, video conferencing,
or e-mail to solve problems even though the members may be geographically dispersed. 169) ______
A) functional B) self-managed
C) problem-solving D) virtual
Use the information below to answer the following questions.
Application of Stages of Team Development
Shannon had never been a member of a team before. Her organization had always highly valued individual
effort. Consequently, the switch to teams had been difficult. Furthermore, there had been no training in
team development, and right now, Shannon was not certain they were ever going to get past this current
stage of continuous intragroup conflict. There was a lot of conflict over who was going to lead the team.
Once everyone had thought of themselves as part of the team, not just a group of individuals, Shannon had
thought things would start to get better. That first stage had been very difficult, but now the second stage
seemed no better. Shannon wondered if they would ever reach a stage of cohesiveness where close
relationships would start to develop. Furthermore, at this point she was not sure they would ever get to the
point of actually performing the task they had been set up for, which was to work across functions to
develop a new piece of surgical equipment. Since the team was to be disbanded in two years, Shannon was
afraid they were going to spend their whole two years becoming a team and would never actually develop
the new equipment.
170) Which stage is Shannon afraid the group will never reach? 170) ______
A) performing B) adjourning C) storming D) forming
171) Suppose Shannon's group interacted primarily to share information and to make decisions that would
help each group member perform within his or her area of responsibility. They would have no need or
opportunity to engage in collective work that requires joint effort; consequently, their performance is
merely the summation of all the group members' individual contributions. Which of the following best
describes this? 171) ______
A) work group B) quality circle
C) problem-solving team D) work team
172) Which stage in team development is characterized by performing the tasks for which the group was
established? 172) ______
A) performing B) forming C) adjourning D) storming
173) When the ________ stage of team development is completed, there will be a relatively clear
relationship within the team. 173) ______
A) performing B) forming C) norming D) storming
174) For team efforts to work, entrepreneurs must shift from the traditional ________ style of managing to
a ________ style. 174) ______
A) command-and-control; coach-and-collaboration
B) uniform; relaxed
C) coach-and-collaboration; command-and-control
D) none of the above
175) Which of the following statements is not true about diverse teams? 175) ______
A) Diverse teams have more difficulty working together.
B) Diverse teams spend less time discussing issues.
C) Diverse teams are more creative.
D) Diverse teams are less cohesive.
176) Which stage of the decision-making process is either nonexistent or given little attention in
programmed decision making? 176) ______
A) identification of problem
B) identification of decision criteria
C) analysis of alternatives
D) development of the alternatives
177) Because bounded rationality affects most managers, decisions made are strongly influenced by all of
the following except 177) ______
A) organizational culture. B) power considerations.
C) self-interest. D) known outcomes.
178) All of the following are examples of planning-function decisions except 178) ______
A) How difficult should individual goals be?
B) Does the human resource evaluation process comply with federal laws?
C) What might the competition be considering?
D) What are the organization's long-term objectives?
179) In decision making, each alternative is evaluated by appraising it against the 179) ______
A) weights. B) expected value.
C) criteria. D) outcomes.
180) Which of the following is not a disadvantage of group decision making? 180) ______
A) groupthink
B) minority domination
C) more time taken to reach a solution
D) more alternatives
Use the information below to answer the following questions.
187) After all factors have been determined, weights have been assigned, and alternatives have been
identified, the next step in decision making is to 187) ______
A) implement the alternative. B) analyze the alternatives.
C) identify the decision criteria. D) identify the problem.
Use the information below to answer the following questions.
Application of Decision Making A Contingency Approach
It seems that all Dave accomplishes is making decisions. Every time he turns around, someone wants him
to decide on one more thing. Just today the secretary came in and asked if she could reorder paper for the
fax machine. Somehow that seemed like a decision he really did not need to deal with. If he could avoid
those types of decisions, then when the foreman came in with the news of a major piece of equipment that
needs repair, in which the repair bill will be almost as much as a new machine, Dave could focus more time
and attention on the more complicated issues.
188) The problem of whether or not to order more fax paper is 188) ______
A) well-structured. B) nonprogrammed.
C) ill-structured. D) programmed.
189) Many decisions fail after the final choice has been made because which of the following occurs? 189)
______
A) People affected failed to accept the solution.
B) Satisficing occurred.
C) The decision criteria weights were incorrect.
D) It was the wrong choice.
190) ________ use(s) software programs to encode the relevant experience of an expert and allow a
system to act like that expert in analyzing and solving ill-structured problems. 190) ______
A) Stand alones B) Microsoft
C) Expert systems D) Networks
191) Programmed decisions minimize the need for managers to ________. 191) ______
A) exercise discretion
B) act alone
C) make the same decision under similar circumstances
D) none of the above
192) In an effort to demonstrate that an initial decision was not wrong, instead of searching for new
alternatives, managers engage in which of the following? 192) ______
A) representative heuristic B) optimal decision making
C) availability heuristic D) escalation of commitment
193) Managers often seek solutions that are satisfactory and sufficient. This is known as which of the
following? 193) ______
A) risk B) satisfactory decision making
C) optimal decision making D) satisficing
194) The tendency for people to base their judgments on information that is readily available is known as
194) ______
A) availability heuristic. B) representative heuristic.
C) optimal decision making. D) escalation of commitment.
195) Bounded rationality differs from the rational model in that decision makers 195) ______
A) act outside the boundaries set by their organizations.
B) focus on easy-to-find choices.
C) seek advice from employees.
D) act irrationally.
Use the information below to answer the following questions.
Application of the Decision-Making Process
Net income has fallen for the second quarter, and Amanda is understandably worried. She knows at the
board of directors meeting on Wednesday she will be closely questioned and expected to have a plan to
avoid any third-quarter losses. Amanda begins to read slowly over the financial documents to try and
ascertain areas that may be the cause.
After much consideration, it appears that expenses have risen
dramatically over the last few months. Amanda wonders why. She decides a meeting of the department
heads is in order first thing tomorrow morning. At the meeting, Amanda would like to generate several
possible solutions to the increased expenses. She wonders how to effectively explore all the options. At the
meeting, the first option that is discussed is to downsize the research and development department since it
is not essential to current operations. Several managers approve this plan. Amanda suggests that they need
to look further at the issue. Several suggestions are made, many of which appear to be viable. Amanda
wonders what to do next.
196) Which of the following would help Amanda develop a thorough list of alternative solutions to the
problem? 196) ______
A) brainstorming B) strategic planning
C) groupthink D) escalation of commitment
197) "Whenever possible, we promote from within" is an example of which of the following? 197)
______
A) rule B) procedure
C) policy D) nonprogrammed decision
Use the information below to answer the following questions.
Application of Decision-Making Styles
Jeremy has noticed that the people within his organization make decisions in very different ways. Jackie is
rational and has a low tolerance for ambiguity. She is efficient and generally makes decisions that are
applicable to the short term. Andy tends to be very broad in his outlook and looks at many alternatives
before making a decision. He generally focuses on the long term. Alexandra thinks intuitively and works
well with others. She is open to suggestions and concerned about her coworkers. Jeremy himself wants to
have complete information before making a decision and always carefully considers many alternatives.
198) The four decision-making styles seen in this question can be diagrammed as having two dimensions
way of thinking and 198) ______
A) tolerance for intuition. B) way of living.
C) time frame. D) tolerance for ambiguity.
199) The major advantage of the ________ group technique is that it allows for anonymity, honesty, and
speed. 199) ______
A) brainstorming B) electronic meeting
C) nominal group technique D) groupthink
200) Rules, procedures, and policies are most suitable for ________ problems. 200) ______
A) well-structured B) ill-structured
C) programmed D) nonprogrammed
201) The major disadvantage of the divisional structure is 201) ______
A) employee satisfaction.
B) duplication of activities and resources.
C) minimization of duplication.
D) diseconomies of scale.
Use the information below to answer the following questions.
Application of Bases of Power
Jerri is confused. She thought that once she had the title of manager, everyone would listen to her and
accept her authority and power. However, she has noticed other employees that seem to have power.
Whenever someone has a question about the computer system, they always go to Helen who actually
established the current system they are using. Usually Helen can get things up and running quicker than
going to the support staff for help. Then there is Joe who has a remarkable amount of charm and charisma.
He seems to have a power based simply upon him. Then there is Jill, her secretary, who has a power
entirely of her own. Jill turns in the timecards weekly, and Jerri has seen her more than once override the
time clock and clock somebody in earlier than they actually arrived or clock out for them when the
employee left work early. When Jerri questioned her about it, Jill just laughed and said that they had been
doing it for years and the time all averaged out. The company allowed no overtime so any extra time
employees spent at work was never compensated. Jerri sometimes wonders if she has any power at all.
202) What type of power does Jill possess? 202) ______
A) reward power B) expert power
C) referent power D) coercive power
203) An organization pursuing a differentiation strategy would be best matched with the ________
organizational structure. 203) ______
A) mechanistic B) organic
C) matrix D) bureaucratic
204) Which of the following is not one of the six elements of structure? 204) ______
A) technology B) work specialization
C) span of control D) chain of command
205) ________ is a system of shared meaning within an organization that determines, to a large degree,
how employees act. 205) ______
A) Culture B) Span of control
C) Boundaryless organization D) Simple structure
206) The rights inherent in a managerial position to give orders and expect them to be obeyed is known as
206) ______
A) responsibility. B) authority.
C) accountability. D) span of control.
207) A manager who organizes his or her plant by separating engineering, accounting, human resources,
and purchasing is using ________ departmentalization. 207) ______
A) product B) geographic C) functional D) customer
208) Harry is the only person who fully understands the new computer network in the office area.
Whenever someone has questions, he goes to Harry. Harry has ________ power. 208) ______
A) coercive B) expert C) referent D) reward
209) What can we conclude from the Milgram study? 209) ______
A) Authority requires respect.
B) Authority is a potent source of getting people to do things.
C) Authority is useless without responsibility.
D) Authority should be commensurate with the position in the organization.
210) Two of the most popular bureaucratic design options grew out of the function and product
departmentalizations. They are called ________ structures. 210) ______
A) functional and geographic B) product and functional
C) divisional and geographic D) functional and divisional
Use the information below to answer the following questions.
Application of Bases of Power
Jerri is confused. She thought that once she had the title of manager, everyone would listen to her and
accept her authority and power. However, she has noticed other employees that seem to have power.
Whenever someone has a question about the computer system, they always go to Helen who actually
established the current system they are using. Usually Helen can get things up and running quicker than
going to the support staff for help. Then there is Joe who has a remarkable amount of charm and charisma.
He seems to have a power based simply upon him. Then there is Jill, her secretary, who has a power
entirely of her own. Jill turns in the timecards weekly, and Jerri has seen her more than once override the
time clock and clock somebody in earlier than they actually arrived or clock out for them when the
employee left work early. When Jerri questioned her about it, Jill just laughed and said that they had been
doing it for years and the time all averaged out. The company allowed no overtime so any extra time
employees spent at work was never compensated. Jerri sometimes wonders if she has any power at all.
211) What type of power does Jerri actually possess? 211) ______
A) legitimate power B) reward power
C) referent power D) expert power
212) Which of the following has not contributed to the boundaryless organization? 212) ______
A) increases in telecommunication
B) static environments
C) complex and dynamic environments
D) changes in technology
213) An organization that has four sales regions, North, Midwest, South, and Southwest is using ________
departmentalization 213) ______
A) functional B) product C) geographic D) customer
214) Organization design decisions are typically made by 214) ______
A) senior management. B) lower-level management.
C) mid-level management. D) operatives.
215) In a team-based structure, ________ make(s) the decisions that affect the team. 215) ______
A) team members B) top management
C) middle management D) first-line management
216) Which of the following structures is loose and flexible allowing it to change rapidly as the need
arises? 216) ______
A) bureaucracy B) mechanistic organization
C) strategic organization D) organic organization
217) In which of the following countries would employees be most receptive to working in teams? 217)
______
A) Canada B) Australia
C) Japan D) United States
218) A work team that is brought together to accomplish a particular task is a 218) ______
A) self-managed team. B) cross-functional team.
C) problem-solving team. D) functional team.
219) A group where the overall level of performance is no greater than the sum of the individual's inputs is
a 219) ______
A) work group. B) functional team.
C) quality circle. D) work team.
220) The role of ________ on work teams is usually held by a person who is imaginative and good at
initiating ideas or concepts. 220) ______
A) concluder-producer B) explorer-promoter
C) assessor-developer D) creator-innovator
221) High-performing teams have members who possess both technical and ________ skills. 221)
______
A) technological B) interpersonal
C) managerial D) nonconformity skills
222) In which stage do groups prepare to disband? 222) ______
A) storming B) performing C) adjourning D) forming
Use the information below to answer the following questions.
following policies and rules. She is excellent at examining details and making sure all the facts and figures
will work. Putting those two together on a team, though, may pose some interpersonal problems since they
are so different. Then there is Shane. He always has such strong convictions about how things should be
done. However, he will protect the group from outsiders and go to battle for them. He will help provide
team stability.
226) Which team role will Jim effectively play? 226) ______
A) creator-innovator B) reporter-advisor
C) controller-inspector D) linker
Use the information below to answer the following questions.
Application of Characteristics of High-Performance Work Teams
Richard knew that just switching to teams was not going to necessarily increase productivity. He knew that
there were some characteristics he needed to ensure that the group possessed in order for the group to be
most effective. Richard knew that the group members needed the requisite technical skills but wondered if
there were any other skills he needed to ensure every group member also had. He knew the group must be
willing to put aside individual goals and focus on the success of the team goals. He also knew the group
would need to be characterized by dedication to the team's goals and a willingness to expend extraordinary
amounts of energy in order to achieve the goals. Some individual work skills would have to be readjusted
in order to benefit the team.
227) The willingness of the group to do what it takes to help the group succeed is known as 227) ______
A) unified commitment. B) goal attainment.
C) team loyalty. D) team commitment.
228) An organization that groups activities according to women's footwear, men's footwear, apparel,
accessories, and leggings would use ________ departmentalization. 228) ______
A) geographic B) product C) customer D) functional
Use the information below to answer the following questions.
Application of Organizational Structure
Jim Johnson is the CEO of a major manufacturer of farming equipment. His company has been in business
for the last 100 years and has been very profitable. The company is very formal and tall with formalized
communication channels and rigid hierarchical relationships. Mr. Johnson makes all major decisions. This
has worked very well until lately. It has begun to have some major global competition. Companies overseas
are bringing new products into the United States at a lower price. Furthermore, just yesterday, the new vice
president had mentioned that he felt that there was a major market overseas for the company's products. As
its strategy was beginning to change, Mr. Johnson also realized its structure too would need to change, but
to what? The company was large and, prior to these changes, the technology utilized, while extensive, had
been very routine. What is he to do?
229) The large size of the company and the use of routine technology are indicators that which type of
structure would be most effective? 229) ______
A) organic organization B) matrix
C) strategic organization D) mechanistic organization
230) Which of the following is not a contingency variable that determines the appropriate span of control
for managers? 230) ______
C) departmentalization D) authority
235) What is the relationship between diversity and cohesiveness in a team situation? 235) ______
A) Diversity is detrimental to group cohesiveness.
B) Diversity increases group cohesiveness.
C) Diversity is related to lower satisfaction of team members.
D) Diversity is unrelated to cohesiveness in teams.
236) A team player who tries to understand all views and tries to build cooperation among all team
members is a(n) 236) ______
A) thruster-organizer. B) linker.
C) creator-innovator. D) upholders-maintainer.
237) Which of the following types of teams are involved in efforts to improve work activities or to solve
specific problems within a particular unit of the company? 237) ______
A) cross-matrix teams B) problem-solving teams
C) functional teams D) self-managed teams
238) To encourage teamwork, behaviors such as ________ should be rewarded. 238) ______
A) training new colleagues B) longevity
C) working overtime D) attending seminars
239) The ________ stage of team development is complete when the team structure solidifies and
members have assimilated a common set of expectations of appropriate work behavior. 239) ______
A) norming B) forming C) performing D) storming
240) The early management writers were enamored of authority. They assumed that the rights inherent in
one's formal position in an organization were the sole source of ________. 240) ______
A) influence B) power C) rights D) authority
241) ________ is the grouping of activities by functions performed. 241) ______
A) Functional departmentalization
B) Customer departmentalization
C) Product departmentalization
D) Geographic departmentalization
242) Power based upon one's expertise, special skills, or knowledge is 242) ______
A) coercive power. B) referent power.
C) expert power. D) legitimate power.
243) In order to perform well as team members, individuals must be able to do all except which of the
following? 243) ______
A) Place a lower priority on personal goals for the good of the team.
B) Confront differences and resolve conflicts.
C) Communicate openly and honestly.
D) Place a high priority on personal goals.
1) D
2) B
3) B
4) C
5) C
6) A
7) C
8) B
9) D
10) C
11) C
12) B
13) C
14) D
15) C
16) B
17) A
18) A
19) B
20) A
21) C
22) C
23) A
24) B
25) A
26) B
27) D
28) C
29) D
30) D
31) B
32) B
33) B
34) D
35) D
36) D
37) A
38) D
39) A
40) A
41) D
42) B
43) D
44) A
45) C
46) B
47) A
48) B
49) A
50) A
51) D
52) A
53) C
54) A
55) A
56) C
57) C
58) D
59) C
60) D
61) D
62) D
63) B
64) A
65) C
66) B
67) A
68) D
69) A
70) B
71) A
72) D
73) B
74) C
75) D
76) B
77) D
78) A
79) C
80) B
81) B
82) B
83) B
84) D
85) A
86) A
87) D
88) B
89) B
90) B
91) A
92) A
93) C
94) C
95) B
96) A
97) B
98) C
99) A
100) A
101) B
102) D
103) A
104) A
105) D
106) D
107) C
108) B
109) C
110) D
111) D
112) A
113) D
114) D
115) B
116) B
117) B
118) C
119) B
120) B
121) C
122) C
123) A
124) D
125) A
126) B
127) C
128) B
129) A
130) B
131) D
132) C
133) B
134) A
135) C
136) B
137) B
138) B
139) D
140) B
141) C
142) C
143) B
144) D
145) B
146) C
147) D
148) D
149) B
150) D
151) B
152) D
153) D
154) B
155) D
156) C
157) D
158) D
159) D
160) A
161) D
162) A
163) B
164) D
165) D
166) A
167) C
168) A
169) D
170) A
171) A
172) A
173) D
174) A
175) B
176) D
177) D
178) B
179) C
180) D
181) D
182) A
183) B
184) C
185) C
186) B
187) A
188) A
189) A
190) C
191) A
192) D
193) D
194) A
195) B
196) A
197) C
198) D
199) B
200) A
201) B
202) A
203) B
204) A
205) A
206) B
207) C
208) B
209) B
210) D
211) A
212) B
213) C
214) A
215) A
216) D
217) C
218) B
219) A
220) D
221) B
222) C
223) B
224) A
225) A
226) A
227) A
228) B
229) D
230) B
231) B
232) C
233) C
234) B
235) A
236) B
237) C
238) A
239) A
240) A
241) A
242) C
243) D
244) A
245) A
246) D
247) A
248) D
249) A
250) B