QUESTION 1

1. A group of investors wants to open up a jewelry store in a new shopping center. The investors are trying to decide whether to stock the store with inexpensive jewelry, medium-priced jewelry, or expensive jewelry. The probability of their choice depends upon the economic conditions: prosperity or recession. How many decision alternatives are presented in this situation?

   		3 inexpensive jewelry, medium-priced jewelry, or expensive jewelry
   		4 the combinations of open the store/prosperity, open the store/recession, do not open the store/prosperity, do not open the store/recession
   		2 prosperity or recession
   		1 to open the store or not