MIS Decision Support Systems 3

Question 1

Which DSS application would best help a bank decide whether to approve a loan?

Accepted Answer

Credit scoring DSS

Answer

A credit scoring DSS uses financial models and historical data to evaluate creditworthiness and support loan approval decisions.

Question 2

Dashboards in an EIS typically display information using:

Accepted Answer

Key Performance Indicators (KPIs) and visual charts

Answer

EIS dashboards present high-level KPIs and visual charts to give executives a quick overview of organizational performance.

Question 3

A DSS that recommends optimal solutions rather than just presenting data is called:

Accepted Answer

Prescriptive DSS

Answer

A prescriptive DSS goes beyond describing or predicting situations to actively recommending optimal courses of action.

Question 4

Which of the following is an example of an unstructured decision appropriate for DSS support?

Accepted Answer

Determining a new market entry strategy

Answer

Determining a new market entry strategy involves complex, judgment-intensive analysis that DSS tools can support but not fully automate.

Question 5

Sensitivity analysis in a DSS examines how changes in one variable affect:

Accepted Answer

Output results across a range of input values

Answer

Sensitivity analysis tests how variations in input variables impact model outputs to understand which factors most influence decisions.

MIS - Management Information Systems Practice Test