Which of the following is a true statement about probability theory?
A) It can only be used to make decisions in situations that do not involve risk.
B) It states that groupthink will always result as a product of brainstorming.
C) It requires knowledge of the expected values of each alternative when making a decision.
D) It cannot be applied to real life situations without the use of computer software.

Question

Quizplus · Accepted Answer

Probability theory is used to help make decisions when there are uncertainties or risks involved. To use probability theory, one needs to know the expected values of each alternative. Therefore, choice C is the only true statement. The other options are incorrect; groupthink is not related to probability theory, and computer software is not necessary to apply probability theory to real-life situations.

Which of the Following Is a True Statement About Probability