Question
Study the table below and use it to calculate the Expected Monetary Values (EMV) of the different outcomes. DECISION TABLE WITH CONDITIONAL VALUES STATE OF
Study the table below and use it to calculate the Expected Monetary Values (EMV) of the different outcomes.
DECISION TABLE WITH CONDITIONAL VALUES | ||
STATE OF NATURE | ||
FAVORABLE OUTCOME | UNFAVORABLE OUTCOME | |
ALTERNATIVE | ($) | ($) |
Construct a Large Plant | 300,000 | -150,000 |
Construct a Small Plant | 120,000 | -30,000 |
No Plant | 0 | 0 |
Probability | 0.5 | 0.5 |
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