The Following Table Provides Information About the Profit Payoff of an Investment

question 1

Essay

The following table provides information about the profit payoff of an investment strategy.
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​ $$\begin{array} { c c c c c } \text { Decision } &&{ \text { State of Nature } } \\\hline \text { Alternative } & \boldsymbol { s l } & \boldsymbol { s 2 } & \boldsymbol { s 3 } & \mathbf { s 4 } \\\hline d 1 & 52 & 44 & 44 & 36 \\d 2 & 52 & 68 & 60 & 40 \\d 3 & 36 & 36 & 36 & 44 \\\hline \text { Probability } & 0.3 & 0.2 & 0.4 & 0.1 \\\hline\end{array}$$ ​
a. What is the optimal decision strategy if perfect information were available?
b. What is the expected value for the decision strategy developed in part a?
c. Using the expected value approach, what is the recommended decision without perfect information? What is its expected value?
d. What is the expected value of perfect information?

Recognize the proportion of hospital admissions related to alcohol misuse.

Understand the relationship between substance use disorders and child abuse/neglect.

Compare the susceptibility to alcohol use disorders between men and women.

Grasp the global mortality rate linked to drug use disorders.

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Exchange of information that lacks personal connection or emotional involvement, often formal or structured.

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Authentic and honest exchange of information between individuals.