Exhibit 14.7
The following questions use the information below.
A decision maker is faced with two alternatives. The decision maker has determined that she is indifferent between the two alternatives when p = 0.45.
-Refer to Exhibit 14.7. What is the expected value of Alternative 2 for this decision maker?
A) $82,000
B) $56,100
C) $64,350
D) $72,600

Question

Exhibit 14.7
The following questions use the information below.
A decision maker is faced with two alternatives. The decision maker has determined that she is indifferent between the two alternatives when p = 0.45. 
-Refer to Exhibit 14.7. What is the expected value of Alternative 2 for this decision maker?
A) $82,000 
B) $56,100 
C) $64,350 
D) $72,600

Quizplus · Accepted Answer

The Answer of Exhibit 14.7
The following questions use the information below.
A decision maker is faced with two alternatives. The decision maker has determined that she is indifferent between the two alternatives when p = 0.45. 
-Refer to Exhibit 14.7. What is the expected value of Alternative 2 for this decision maker?
A) $82,000 
B) $56,100 
C) $64,350 
D) $72,600

Exhibit 14.7 The Following Questions Use the Information Below