Consider the Following Diagram

question 7

Multiple Choice

Consider the following diagram:
In this diagram,if the optimal policy is chosen,the company invests the amount:

• A)W_1-E
• B)W_1-C*₁
• C)E-C*₁
• D)W₂-E

---

Definitions:

Cognitive Dissonance

The emotional state that results from acting in ways that contradict one’s beliefs or other actions.

High IQ

A measurement indicating that an individual has cognitive abilities or intelligence significantly above the average for their age group.

Divergent Thinking

A cognitive strategy or methodology designed to foster innovative ideas by examining a wide range of possible solutions.

Collective Habits

The practices and behaviors that are common or shared among a group of people, forming a part of their collective identity.