If the manager uses maximin as the decision criterion, which of the alternatives should she choose?

A manager has developed a payoff table that indicates the profits associated with a set of alternatives under two possible states of nature.

Alt S1 S2

1 10 2
2 -2 8
3 8 5

Answer: maximin: Alt 3

Business

You might also like to view...

If an asset is disposed of when it is fully depreciated and has no residual value, the business does not need to make a journal entry because the book value is zero

Indicate whether the statement is true or false

Business

How have consumers benefited from market demassification?

What will be an ideal response?

Business