The following table shows both prospective profits and losses for a company, depending on what decision is made and what state of nature occurs.

	State of Nature
Decision	s1	s2	s3
d1	30	90	30
d2	110	30	40
d3	75	10	130
d4	15	15	15

Use the information to determine what the company should do. Show your work (regret table).

(a)

Show a regret table.

	State of Nature
Decision	s1	s2	s3	Maximum Regret
d1
d2
d3
d4

(b)

If an optimistic strategy is used.

d₁

d₂

d₃

d₄

(c)

If a conservative strategy is used.

d₁

d₂

d₃

d₄

(d)

If minimax regret is the strategy.

d₁

d₂

d₃

d₄