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Prepare the opportunity loss table

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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 .10 .05 .05

i) Prepare the opportunity loss table.

ii) Select the optimal act using expected opportunity loss criterion.

iii) Find EVPI.

Reference no: EM132911285

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