SCENARIO 20-6 a Student Wanted to Find Out the Optimal Strategy to Strategy

question 111

True/False

SCENARIO 20-6
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.
-True or False: Referring to Scenario 20-6, the optimal strategy using the expected opportunity loss
criterion is to study 8 hours per week on average for the exam.

---

Definitions:

Self-Absorbed

Excessively preoccupied with one's own thoughts, feelings, and interests, often at the expense of others' needs or feelings.

Opportunistic

Behavior or tendencies characterized by taking immediate advantage of circumstances with little regard for principles or consequences.

Ambitious

Characterized by a strong desire for success or achievement.

Ethical Theory

A system of principles that helps determine what is morally right and wrong, guiding ethical decision-making.