Assume That You Need to Choose Between Two Alternatives and Know

question 101

Multiple Choice

Assume that you need to choose between two alternatives and know that the expected value for A₁ is 400,as shown in the decision tree below. You want to determine how sensitive the choice between the two alternatives is to the probability of S₁ occurring.Conduct sensitivity analysis on the probability of S₁.What is the value for p that you find?

• A)p = 0.5
• B)p = 0
• C)p = 0.2
• D)p = 0.8

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Definitions:

Dementia

A wide-ranging class of neurological disorders characterized by a persistent and typically progressive decline in cognitive ability, impacting everyday activities.

Neurocognitive Disorder

Neurocognitive disorder involves a decline in cognitive function due to alterations in the brain, impacting memory, attention, and problem-solving abilities.

Psychological Disorders

Mental health conditions characterized by disturbances in thought, emotion, or behavior that cause distress or impaired functioning.

Aging

A natural and complex physiological process leading to the gradual decline in physical and cognitive functions over time.