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sashaice [31]
3 years ago
7

The Analytic Hierarchy Process is being employed in a project selection decision. One major criteria, cost, receives a weighting

value of 40%, which is split into short term (50%), intermediate term (30%), and long term (20%). Which of these statements is BEST? 1. There must be at least one other major criteria that has 40% weighting. 2. Short term, intermediate term, and long term must receive overall weightings that total 100%. 3. Long-term cost receives an overall weighting of 80%. 4. Intermediate-term cost receives a weighting of 12%.
Business
1 answer:
pshichka [43]3 years ago
4 0

Answer:

Option "4" is the correct answer to the following situation.

Intermediate-term cost receives a weighting of 12%.

Explanation:

<u>GIVEN:</u>

Total cost receives weighting = 40%

  • short term cost weighting  = 50% of (Total cost receives weighting)

                                    = 50% of 40% = 20%

  • intermediate term cost weighting  

                                    = 30% of (Total cost receives weighting)

                                     = 30% of 40% = 12%

  • long term cost weighting

                                    = 20% of (Total cost receives weighting)

                                    = 20% of 40% = 8%

Therefore option "4" is the correct answer to the above situation.

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