• Question 4
For the payoff table below, the decision maker will use P(s1) = .15, P(s2) = .5, and P(s3) = .35.
What is the expected value for the best decision?
State of Nature
Decision s1 s2 s3
d1 -5,000 1,000 10,000
d2 -15,000 -2,000 40,000
• Question 4
For the payoff table below, the decision maker will use P(s1) = .15, P(s2) = .5, and P(s3) = .35.
What is the expected value for the best decision?
State of Nature
Decision s1 s2 s3
d1 -5,000 1,000 10,000
d2 -15,000 -2,000 40,000