Exhibit 21-2 Below You Are Given a Payoff Table Involving Three States

question 45

Multiple Choice

Exhibit 21-2
Below you are given a payoff table involving three states of nature and two decision alternatives. The probability that S₁ will occur is 0.1; the probability that S₂ will occur is 0.6.
-Refer to Exhibit 21-2. The recommended decision based on the expected value criterion is

• A)A
• B)B
• C)Both alternatives are the same.
• D)None of these alternatives is correct.

---

Definitions:

Diffusion Rate

The diffusion rate is the rate at which particles spread from areas of high concentration to areas of low concentration, influenced by factors such as temperature and particle size.

Molecular Weight

The sum of the atomic weights of all atoms in a molecule, indicating the mass of the molecule relative to the mass of a carbon-12 atom.

Aqueous Solution

A solution in which the solvent is water, commonly used in a wide range of chemical and biological processes.

Solute

A substance that is dissolved in another substance (solvent), forming a solution, which can be a solid, liquid, or gas.