The personnel decision principally treated in this paper is that of remedial placement. The decision made with respect to candidates is to accept or reject, and performances by candidates are evaluated as pass or fail. A criterion and a selection variable were assumed, and the problem is to choose a cutting score on the selection variable such that the value of acceptance decision-outcome combinations is at an optimum. Optimization conditions are given in general functional notation and for normal surfaces. Numerical examples are given for three philosophies of evaluating pass and fail outcomes and for three levels of college course difficulties. (Author)
