The likelihood that a decision maker will ever receive a payoff precisely equal to the EMV when making any one decision is:
A) low (near 0%).
B) high (near 100%).
C) dependent upon the number of alternatives.
D) dependent upon the number of states of nature.
E) none of the above
A
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In the market data approach, adjustments to the comparables would be made for all of these except
A) number of baths B) square footage C) time of sale D) capitalization
The management scientist entered a trance-like state as he formulated his model. This state was interrupted by an integer-hating colleague,
who insisted that the model should be run as a linear program rather than integer program. The management scientist sighed, relaxed the integer constraint, and ran the model, obtaining the following answer report. Provide a full interpretation and plan for action. Variable Cells Cell Name Original Value Final Value Integer $G$4 wood floors Contractor? 0 0 Contin $H$4 wood floors Landlord? 0 1 Contin $G$5 kitchen tile Contractor? 0 0.833 Contin $H$5 kitchen tile Landlord? 0 0.167 Contin $G$6 back door Contractor? 0 0.000 Contin $H$6 back door Landlord? 0 0 Contin $G$7 garage door opener Contractor? 0 1 Contin $H$7 garage door opener Landlord? 0 0 Contin Constraints Cell Name Cell Value Formula Status Slack $B$12 Total Time Weeks Contractor 4 $B$12<=$B$13 Binding 0 $E$10 Total Cost Contractor Price $3,000 $E$10<=$E$11 Binding 0 $I$4 wood floors Included? 1 $I$4<=$J$4 Binding 0 $I$5 kitchen tile Included? 1 $I$5<=$J$5 Binding 0 $I$6 back door Included? 2.78E-16 $I$6<=$J$6 Not Binding 1 $I$7 garage door opener Included? 1 $I$7<=$J$7 Binding 0