Nature Gives Company a One of Three Endowments; Then Company

question 2

Multiple Choice

Nature gives company A one of three endowments; then company A picks one of two options.Depending on A's choice,company B picks one of three options with each one having two possible payoffs,decided by nature.How many chance forks does the decision tree depicting this have?

• A) 4.
• B) 9.
• C) 19.
• D) 28.
• E) 36.

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Definitions:

Administrative Process

The procedure used by administrative agencies in fulfilling their three basic functions: rulemaking, enforcement, and adjudication.

Course Of Employment

Activities performed by an employee within the scope of their job duties or as authorized by their employer.

Family And Medical Leave Act

A U.S. federal law requiring covered employers to provide employees with job-protected and unpaid leave for qualified medical and family reasons.

Health-Care Coverage

A contract by which an insurance company agrees to cover part or all of a person's medical expenses in exchange for a premium.