SCENARIO 20-1
The following payoff table shows profits associated with a set of 3 alternatives under 2 possible states of nature.

-Referring to Scenario 20-1,if the probability of S1 is 0.5,then the return to risk ratio for A3 is
A)0.667
B)1.5
C)2
D)4.333

Question

SCENARIO 20-1
The following payoff table shows profits associated with a set of 3 alternatives under 2 possible states of nature.

-Referring to Scenario 20-1,if the probability of S1 is 0.5,then the return to risk ratio for A3 is
A)0.667 
B)1.5 
C)2 
D)4.333

Quizplus · Accepted Answer

The Answer of SCENARIO 20-1
The following payoff table shows profits associated with a set of 3 alternatives under 2 possible states of nature.

-Referring to Scenario 20-1,if the probability of S1 is 0.5,then the return to risk ratio for A3 is
A)0.667 
B)1.5 
C)2 
D)4.333

SCENARIO 20-1 The Following Payoff Table Shows Profits Associated with a Set