Below You Are Given a Revenue Payoff Table Involving Three

question 21

Multiple Choice

Below you are given a revenue payoff table involving three decision alternatives and two states of nature. ​ The probability of the occurrence of state of nature s₁ is .4.
The recommended decision based on the expected value criterion is

• A) A.
• B) B.
• C) C.
• D) Both B and C are recommended.