Question

    If two alternative proposals are such that the acceptance of one shall exclude the possibility of the acceptance of another then such decision making will lead to:

    A Mutually exclusive decisions Correct Answer Incorrect Answer
    B Accept reject decisions Correct Answer Incorrect Answer
    C Contingent decisions Correct Answer Incorrect Answer
    D Sequential decisions Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    When two or more alternative proposals are such that the acceptance of one proposal automatically rules out the possibility of accepting another proposal, then such decisions are known as mutually exclusive decisions. In other words, these proposals are competing with each other and only one can be accepted. For example, if a company is considering investing in either Project A or Project B, and it can only choose one project, then the decision is mutually exclusive.

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