SCENARIO 19-6
a Student Wanted to Find Out the Optimal

question 64

Short Answer

SCENARIO 19-6
A student wanted to find out the optimal strategy to study for a Business Statistics exam. He
constructed the following payoff table based on the mean amount of time he needed to study every
week for the course and the degree of difficulty of the exam. From the information that he gathered
from students who had taken the course, he concluded that there was a 40% probability that the exam
would be easy. $$\begin{array} { | l | l | l | l | } \hline & 16 \text { hours } & 8 \text { hours } & 4 \text { hours } \\\hline \text { Easy Exam } & 40 & 60 & 80 \\\hline \text { Difficult Exam } & 100 & 50 & 0 \\\hline\end{array}$$
-Referring to Scenario 19-6, what is the opportunity loss of spending 8 hours per week on average
studying for the exam when the exam turns out to be difficult?

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Definitions:

Environmental Factors

denote external elements like climate, economic conditions, and social settings that influence living and working conditions and can impact health, behaviors, and business operations.

Creativity

The ability to generate new, unique, or innovative ideas, solutions, or approaches.

Promoting Creativity

The act of encouraging or facilitating the ability to generate innovative ideas, approaches, or solutions.

Work Group Support

The assistance, encouragement, and resources provided by members within a group to each other to achieve collective goals and enhance individual performance.