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

question 91

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, then the EVPI for the payoff table is

• A) - 3
• B) 3
• C) 8
• D) 11

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Definitions:

Greater Opportunity

The increased chance or potential to achieve success, access resources, or advance in one's personal or professional life.

Global Economy

refers to the interconnected and interdependent nature of the world's economies, where changes in one part can affect economies globally.

Payoffs

Financial transactions or bribes intended to influence behavior or decisions, often used in illicit or unethical contexts.

Government Crime

Illegal or unethical actions committed by government officials or agencies, often involving the abuse of power or violation of public trust.