Exhibit 14.5 The Following Questions Are Based on the Information Below

question 32

Multiple Choice

Exhibit 14.5
The following questions are based on the information below.
An investor is considering 4 investments, A, B, C, D. The payoff from each investment is a function of the economic climate over the next 2 years. The economy can expand or decline. The following decision tree has been developed for the problem. The investor has estimated the probability of a declining economy at 40% and an expanding economy at 60%.
-A square node in a decision tree is called a(n) ____ node.

• A) chance
• B) random
• C) decision
• D) event

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Definitions:

Superclass

In the realm of object-oriented programming, a class that serves as a basis for other classes to derive properties and methods from.

Single Inheritance

Single Inheritance is a feature of object-oriented programming where a class can inherit properties and methods from only one superclass.

Subclass

A class that inherits from another class, known as superclass, and can have additional properties or methods.

Dog

A domesticated carnivorous mammal known for its loyalty and companionship as a pet, belonging to the species Canis lupus familiaris.