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Question - A newspaper boy buys magazines for Rs.13 each and sells them for Rs.18 each. He cannot return the unsold magazine. The past record of sales is as follows:
Sales
23
24
25
26
27
28
29
30
Prob.
.05
.10
.15
.30
.20
Required -
i) Prepare the opportunity loss table.
ii) Select the optimal act using expected opportunity loss criterion.
iii) Find EVPI.
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