SCENARIO 19-1
the Following Payoff Table Shows Profits Associated with a Set

question 62

Multiple Choice

SCENARIO 19-1
The following payoff table shows profits associated with a set of 3 alternatives under 2 possible states
of nature. $\begin{array}{crrr}\text { States } & A 1 & A 2 & A 3 \\\hline 1 & 12 & -2 & 8 \\2 & 4 & 10 & 5\end{array}$

where: $\quad S 1$ is state of nature 1 $\quad$$A 1$ is action alternative 1
$\quad$$\quad$$\quad$$S 2$ is state of nature 2 $\quad$$A 2$ is action alternative 2
$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$A 3$ is action alternative 3
-Referring to Scenario 19-1, the opportunity loss for A3 when S2 occurs is

• A) 0
• B) 4
• C) 5
• D) 6

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