Possible outcomes for three investment alternatives and their probabilities of occurrence are given Failure Acceptable Successful Alternative 1 Alternative 2 Alternative 3 Outcomes Probability Outcomes Probability Outcomes Probability 50 0.40 .70 0.20 85 0.40 0.20 130 0.40 325 0.40 265 0.40 410 Alternative 1 Alternative 2 Alternative 3 80 135 Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest. Note: Do not round intermediate calculations. Round your answers to 3 decimal places. Coefficient of Variation 0.40 0.20 Rank
Possible outcomes for three investment alternatives and their probabilities of occurrence are given Failure Acceptable Successful Alternative 1 Alternative 2 Alternative 3 Outcomes Probability Outcomes Probability Outcomes Probability 50 0.40 .70 0.20 85 0.40 0.20 130 0.40 325 0.40 265 0.40 410 Alternative 1 Alternative 2 Alternative 3 80 135 Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest. Note: Do not round intermediate calculations. Round your answers to 3 decimal places. Coefficient of Variation 0.40 0.20 Rank
Essentials of Business Analytics (MindTap Course List)
2nd Edition
ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Chapter15: Decision Analysis
Section: Chapter Questions
Problem 16P: Suppose that you are given a decision situation with three possible states of nature: s1, s2, and...
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Question
![Possible outcomes for three investment alternatives and their probabilities of occurrence are given next.
Failure
Acceptable
Successful
Alternative 1
Alternative 2
Alternative 3
Outcomes Probability Outcomes Probability Outcomes Probability
50
0.40
70
0.20
85
0.40
0.20
130
0.40
325
0.40
0.40
265
0.40
410
0.20
Alternative 1
Alternative 2
Alternative 3
80
135
Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest.
Note: Do not round intermediate calculations. Round your answers to 3 decimal places.
Coefficient of
Variation
Rank](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fba698c6c-b320-433d-b466-093bafdcc33b%2Fb034acf5-2680-46e5-b452-e79717cd1bfe%2F8fgxi48_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Possible outcomes for three investment alternatives and their probabilities of occurrence are given next.
Failure
Acceptable
Successful
Alternative 1
Alternative 2
Alternative 3
Outcomes Probability Outcomes Probability Outcomes Probability
50
0.40
70
0.20
85
0.40
0.20
130
0.40
325
0.40
0.40
265
0.40
410
0.20
Alternative 1
Alternative 2
Alternative 3
80
135
Using the coefficient of variation, rank the three alternatives in terms of risk from lowest to highest.
Note: Do not round intermediate calculations. Round your answers to 3 decimal places.
Coefficient of
Variation
Rank
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