With choice S1, a manager sees gains of $10 million and $6 million. With choice S2, a manager sees gains of $12 million and $8 million. Only a pessimistic manager would choose S1
Indicate whether the statement is true or false.
Answer: FALSE
Explanation: S1 is not a good choice for an optimist or a pessimist. It has a low possible maximum and minimum.
You might also like to view...
Which of the following observations concerning the Fed's discount window is true?
A. The facility is provided to meet DIs' permanent liquidity needs. B. Four lending programs are offered through the Fed's discount window. C. Primary credit is available to sound depository institutions on a very short-term basis. D. Secondary credit is available only to depository institutions that are eligible for primary credit. E. Eligible institutions for seasonal credit are big banks located in urban areas.
A pop-under ad appears underneath the current browser window, so when the user closes the active window the ad is still on the screen
Indicate whether the statement is true or false