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A person is trying to decide if he or she should buy a lottery ticket. The ticket costs $ 2 . 0 0 . If

A person is trying to decide if he or she should buy a lottery ticket. The ticket costs $2.00. If the ticket is a winner, the prize would be $1,032. Knowing that winning $1,032 is not a certain outcome (state of nature), the person finds that the probability of winning is 0.001. Based on this information, the following payoff table can be constructed:
Lose Win
Buy $ (2.00) $ 1,032
Do not buy 00
What is the expected value of perfect information?
Multiple Choice
$1.00
$1.030
$2.030
Cannot be computed

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