Instruction 17-1
a Student Wanted to Find Out the Optimal

question 7

Short Answer

Instruction 17-1
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.
$$\begin{array} { | l | l | l | l | } \hline & 16 \text { hours } & 8 \text { hours } & 4 \text { hours } \\\hline \text { Easy Exam } & 40 & 60 & 80 \\\hline \text { Difficult Exam } & 100 & 50 & 0 \\\hline\end{array}$$
-Referring to Instruction 17-1,what is the expected monetary value of spending 8 hours per week on average studying for the exam?

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Definitions:

Pay Structure

A system that outlines how employees are compensated, including wage scales, salaries, bonuses, and raises, based on their role, experience, and performance.

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Regulations designed to ensure that all individuals have an equal chance for employment, without discrimination on the basis of race, color, religion, sex, national origin, age, disability, or genetic information.

Equal Pay

The principle that individuals should receive the same remuneration for work of equal value, without discrimination based on gender, ethnicity, or other unrelated factors.

Minimum Wage

The lowest legal hourly rate that an employer can pay its workers, set by government policy.