A decision maker has prepared the following payoff table. States of Nature Alternative High Low 85 Buy 60 50 Rent 45 45 Lease Using the Maximax criterion, what is the best decision and the expected payoff? Best decision Payoff

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Proctoring Enabled: Chapter 9 Decision Analysis . 6
A decision maker has prepared the following payoff table.
3.
States of Nature
Alternative
High
Low
5
Buy
85
Rent
60
50
Lease
45
45
Using the Maximax criterion, what is the best decision and the expected payoff?
Best decision
Payoff
Transcribed Image Text:Saved Proctoring Enabled: Chapter 9 Decision Analysis . 6 A decision maker has prepared the following payoff table. 3. States of Nature Alternative High Low 5 Buy 85 Rent 60 50 Lease 45 45 Using the Maximax criterion, what is the best decision and the expected payoff? Best decision Payoff
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