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Instruction 17-2
a Student Wanted to Find Out the Optimal

question 35

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Instruction 17-2
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 put in every week studying 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.
16 hours 8 hours 4 hours  Easy Exam 406080 Difficult Exam 100500\begin{array} { | l | l | l | l | } \hline & 16 \text { hours } & 8 \text { hours } & 4 \text { hours } \\\hline \text { Easy Exam } & 40 & 60 & 80 \\\hline \text { Difficult Exam } & 100 & 50 & 0 \\\hline\end{array}
-Referring to Instruction 17-2,what is the return-to-risk ratio of spending 8 hours per week on average studying for the exam?

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Definitions:

Butane

A gaseous hydrocarbon with the formula C4H10, existing in two isomeric forms and used as a fuel and a refrigerant.

Torsional Strain

A type of strain in molecules that occurs when atoms in a molecule are placed such that they cause repulsion by being in close proximity, often linked to bond angles and rotation around bonds.

Combustion

A chemical process that involves the rapid combination of a substance with oxygen to release heat and light.

Cyclohexane

A saturated cyclic hydrocarbon with the formula C6H12, featuring a six-carbon ring structure.

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