Pablo is contemplating four institutions of higher learning in the US as option for a Masters in Business Administration. Each university has strong and weak points and the demand for MBA graduates is uncertain. The availability of jobs, student loans and financial support will have a significant high tuition, which would necessitate Pablo take out loans resulting in possibly substantial student loan debt. In a tight market, degrees with the cachet might spell the difference between a hefty paycheck and a piddling unemployment check. C and D universities hold the advantage of comparatively low tuition but a more regional appeal in a tight job market. Pablo gathers his advisory council of Magda and Pedro to assist with the decision. Together they forecast three possible for the job market and institutional success and predict annual cash flows associated with an MBA from each institution. All cash flows in the table are in thousands of dollars.

University S1 S2. S3

A 95 20 -10

B 55 60 60

C 90 10 80

D 65 50 60

Under which decision-making criterion is B University the optimal choice?

a. minimax regret

b. minimim

c. maximax

d. maximin

e. Bayes criteria