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For the profit payoff table below, the decision maker assumes that P(s1) = .15, p(s2) = .50, and p(s3) = .35.
State of Nature
Decision
s 1
s 2
s 3
d 1
-5000
1000
10,000
d 2
-15,000
-2000
40,000
What alternative would be chosen according to expected value?
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