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

question 26

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, if the probability of S1 is 0.5, what is the optimal alternative using EMV?

• A) A1
• B) A2
• C) A3
• D) It cannot be determined.

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Definitions:

Chromosome

A chromosome is a long, continuous thread of DNA that contains numerous genes and regulatory information, essential for genetics and heredity.

Combination

The action of combining two or more elements or things into a single entity or mixture.

Alleles

Different forms of a gene that arise by mutation and are found at the same place on a chromosome.

Type AB Blood

A blood type in the ABO blood group system characterized by the presence of both A and B antigens on the surface of red cells.