The following is an opportunity-loss table. The probabilities for the states of nature A,B,and C are 0.3,0.5,and 0.2,respectively.If a person were to use the expected opportunity loss criterion,what decision would be made?
A)Alternative 1
B)Alternative 2
C)Alternative 3
D)State of Nature C
E)State of Nature B

Question

The following is an opportunity-loss table.  The probabilities for the states of nature A,B,and C are 0.3,0.5,and 0.2,respectively.If a person were to use the expected opportunity loss criterion,what decision would be made?
A)Alternative 1 
B)Alternative 2 
C)Alternative 3 
D)State of Nature C 
E)State of Nature B

Quizplus · Accepted Answer

The Answer of The following is an opportunity-loss table.  The probabilities for the states of nature A,B,and C are 0.3,0.5,and 0.2,respectively.If a person were to use the expected opportunity loss criterion,what decision would be made?
A)Alternative 1 
B)Alternative 2 
C)Alternative 3 
D)State of Nature C 
E)State of Nature B

The Following Is an Opportunity-Loss Table