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CAT Introduction to Decision Making - Practice Questions & MCQ

Edited By admin | Updated on Sep 25, 2023 25:47 PM | #CAT

Quick Facts

  • 1 Questions around this concept.

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Directions for question:

The film director Mr Rohit Shetty wants an actress for the lead role of Meenamma in his film, who perfectly fits the description that appears in the original screenplay. He is not willing to consider actresses who do not resemble the character as she is described in the screenplay, no matter how talented they are. 

The screenplay describes Meenamma as a slim, thirty something brunette, with average height, deep brown eyes, very fair skin, and a brilliant smile. 

The casting agent has four actresses in mind :

Actress 1 is a stunning brunette beauty who is 5'9" and in her mid-twenties. Her eyes are brown and she has an olive complexion.

Actress 2 has black hair, big brown eyes, and a fair complexion. She is in her mid-thirties and is 5'5".

Actress 3 is 5'4" and of medium build. She has black hair, brown eyes, and is in her early thirties.

Actress 4 is a blue-eyed brunette in her early twenties. She's of very slight build and stands at 5'.

While travelling in a West Bengal registered commercial taxi from Kolkata in West Bengal, to Bhubaneswar in the neighbouring state of Odisha, my taxi driver informed me that since he has no permit for running the taxi in that city, he will stop at its Transport Office and pay the prescribed fee of Rs 120 for a day. While paying the fee at the counter I found that the transport clerk was taking an extra Rs 80 for which no receipt was given. I was in a hurry for an important class at IIT Bhubaneswar.


Under such circumstances, what would I have done ?

Concepts Covered - 1

Introduction to Decision Making

Decision Making is a critical aspect of data interpretation and problem-solving. It involves assessing available information, evaluating options, and choosing the most suitable course of action to achieve specific goals or solve a problem effectively.

Key Concepts in Decision Making:

  • Information Analysis: Decision Making begins with gathering and analyzing relevant information. This information can be factual data, expert opinions, or past experiences.
  • Options Evaluation: Once the information is analyzed, various options or alternatives are assessed based on predefined criteria.
  • Rational Choice: Decision Making aims to make rational choices that maximize benefits, minimize risks, and align with the desired outcomes.

Interpreting Decision Making: Decision Making scenarios require you to:

  • Analyze the provided information.
  • Consider the available options.
  • Evaluate the pros and cons of each option.
  • Make a reasoned and informed decision.

Example Decision Making:

Let's explore a detailed example of a Decision Making scenario to illustrate these concepts:

Scenario: Buying a New Car

Given Information: You are in the market for a new car. You have researched various car models, and you have the following information:

  • Car Model A is known for its fuel efficiency, but it has a higher upfront cost.
  • Car Model B is more affordable initially, but it has higher maintenance costs.
  • Car Model C has a good balance between cost and fuel efficiency.

Logical Questions:

  • Decision Criteria:
    • What factors are essential to consider when choosing a new car?
  • Option Evaluation:
    • Assess the advantages and disadvantages of each car model (A, B, and C) based on your criteria.
  • Rational Choice:
    • Which car model would you choose, considering your priorities and preferences?


  • Decision Criteria:
    • Factors to consider when choosing a new car may include fuel efficiency, upfront cost, maintenance costs, safety features, brand reputation, and personal preferences.
  • Option Evaluation:
    • Car Model A: High fuel efficiency, higher upfront cost, average maintenance costs.
    • Car Model B: Affordable upfront cost, higher maintenance costs, average fuel efficiency.
    • Car Model C: Good balance of cost and fuel efficiency, reasonable upfront cost, and maintenance costs.
  • Rational Choice:
    • Based on your priorities and preferences, you might choose Car Model C because it offers a reasonable balance between cost and fuel efficiency.


Decision Making is a crucial skill for solving real-life problems and making informed choices. It involves a systematic approach to assessing information, evaluating options, and selecting the best course of action based on predefined criteria. Proficiency in Decision Making empowers individuals to make sound decisions in various personal and professional contexts.

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