busi 2013

QUESTION 5 Payoff Table For Decision Making (18 poluts) The following payoff table was obtained from a Real Estate Agent in Victoria, BC for your recommendation. The payoff values are Time which are desired to be minimum Decision Alternatives States of nature Si S2 D1 53 390 210 D2 160 450 180 D3 140 290 160 195 a) What is the best decision according to the conservative approach? el b) Considering the following probabilities for the states of nature, what is the best decision to be chosen? P(SI) -0.30, P(S2) - 0.25, and P(S3) -0.45. c) Calculate the Expected value of perfect information. 15 minutes on