1.)In a city, 51% of the population is male and 49% of the population is female. Among the males, 20% have diabetes. Among the females, 10% have diabetes. If randomly picked one person from that city, what is the probability that person is diabetic?

2.)You are choosing among fourinvestment plans. The payoffs of these investment plans depends on next years sales(see the table below.) You believe that next years saleswill either decrease or increase. We also know thatthesales willincrease with a probability of 0.7 and decrease with a probability of 0.3.

	Sales Decrease	Sales Increase
Plan 1	8,500	12,000
Plan 2	6,000	14,500
Plan 3	10,000	10,500
Plan 4	10,100	10,200

Which alternative should be chosen based on themaximincriterion?

Which alternative should be chosen based on theminimax regretcriterion?

Which alternative should be chosen based onexpected valuecriterion?

Which alternative should be chosen based onmaximaxcriterion?