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

question 2

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 return-to-risk ratio of spending 8 hours per week on average
studying for the exam?

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Definitions:

Glycemic Index

A numerical system that measures how much a specific food increases blood sugar levels compared to glucose.

Weight Loss

A reduction in overall body mass due to a loss of fluid, body fat, or lean mass.

Food Selections

The choices made by individuals or groups regarding what foods to eat based on preference, nutrition, culture, or availability.

Vitamin C

An essential nutrient known for its antioxidant properties and role in supporting immune function, skin health, and collagen production.