Which of the Following Is a Feature of the Expected-Value

question 20

Multiple Choice

Which of the following is a feature of the expected-value standard?

• A)The expected-value criterion helps the decision taker to choose the course of action that involves the maximum risk and return.
• B)The expected-value criterion cannot be employed in situations involving multiple and related risks.
• C)The expected-value criterion is employed for short-term and one-time decisions involving high risks.
• D)The expected value of a risky prospect represents the average monetary outcome if it were repeated indefinitely.
• E)The expected-value standard is appropriate for playing the short-run averages.

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Definitions:

Better Diagnosis

Improved identification and understanding of a problem, condition, or disease, often leading to more effective solutions or treatments.

Organizational Creativity

The ability of a company or organization to generate or recognize ideas, alternatives, or possibilities that may be useful in solving problems, communicating, and entertaining.

Organizational Norms

Established standards of behavior or beliefs that dictate the proper way to act within a specific organization.

Employee's Concern

Refers to the issues, needs, or worries that workers have regarding their job, working environment, or benefits.