SCENARIO 19-2
the Following Payoff Matrix Is Given in Dollars $\quad$

question 13

Multiple Choice

SCENARIO 19-2
The following payoff matrix is given in dollars. $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { Action }$
$\begin{array}{l}\begin{array} { c c c } \text { Event } & A & B \\\hline 1 & 400 & 700 \\2 & 200 & 500\end{array}\end{array}$ Suppose the probability of Event 1 is 0.5 and Event 2 is 0.5.
-Referring to Scenario 19-2, what is the optimal action using the EOL criterion?

• A) Action A
• B) Action B
• C) Either Action A or Action B
• D) It cannot be determined.

---

Definitions:

Proposition

A declaration or pronouncement that indicates an evaluation or stance, subject to being correct or incorrect.

Explanandum

An event or phenomenon that is to be explained.

Explanation

The process of making something clear or easy to understand by describing or giving details about it.

Electrical Wiring

A system of conductors and devices that transport electrical power or signals.