Referring to the payoff table below answer the questions given below: State of Nature Decision Alternatives S1 S2 S2 S3 D1 7 4.5 5 2.5 D2 6 5 8 7 D3 4.5 5 5 5.5 D4 4 5 5.5 6.5 Construct decision tree for this problem Under the condition of uncertainty, what would be the recommended decision using the optimistic and pessimistic approaches?
Referring to the payoff table below answer the questions given below: State of Nature Decision Alternatives S1 S2 S2 S3 D1 7 4.5 5 2.5 D2 6 5 8 7 D3 4.5 5 5 5.5 D4 4 5 5.5 6.5 Construct decision tree for this problem Under the condition of uncertainty, what would be the recommended decision using the optimistic and pessimistic approaches?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Referring to the payoff table below answer the questions given below:
|
|
State of Nature |
|||
|
Decision Alternatives |
S1 |
S2 |
S2 |
S3 |
|
D1 |
7 |
4.5 |
5 |
2.5 |
|
D2 |
6 |
5 |
8 |
7 |
|
D3 |
4.5 |
5 |
5 |
5.5 |
|
D4 |
4 |
5 |
5.5 |
6.5 |
- Construct decision tree for this problem
- Under the condition of uncertainty, what would be the recommended decision using the optimistic and pessimistic approaches?
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