The management at Ghazal transportation is launching a direct route service from Dubai to Al Dhafra. The company needs to decide whether it should invest in a small, medium, or large sized fleet of buses for this route. The annual profit ($000)will vary based on the passenger demand being low, moderate, or high. The following payoff matrix has been developed by the management team to aid decision making

The management at Ghazal transportation is launching a direct route service from Dubai to Al Dhafral The company needs to decide whether it should invest in a small, medium, or large sized fleet of buses for this route. The annual profit ($000) will vary based on the passenger demand being low, moderate, or high. The following payoff matrix has been developed by the management team to aid decision making. Estimated Demand 500 600 700 400 800 900 20 50 120 Which of the following correctly defines Bayes' decision rule? Choose the decision alternative with highest weighted average of expected payoff, calculated by dividing each payoff by the prior probability and summing these products for each alternative. Choose the decision alternative with lowest weighted average of expected payoff, calculated by dividing each payoff by the prior probability and summing these products for each alternative. Choose the decision alternative with lowest weighted average of expected payoff, calculated by multiplying each payoff by the prior probability and summing these products for each alternative. Choose the decision alternative with highest weighted average of expected payoff, calculated by multiplying each payoff by the prior probability and summing these products for each alternative. B Edit