Which decision alternative maximizes the expected value

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Reference no: EM131360471

Problem -

Consider the following decision table, which Joe Blackburn has developed for Vanderbilt Enterprises:

Decision Alternatives	States of Nature
Decision Alternatives	Low	Medium	High
A	$40	$100	$60
B	$85	$60	$70
C	$60	$70	$70
D	$65	$75	$70
E	$70	$65	$80
Probability	.40	.20	.40

Which decision alternative maximizes the expected value of the pay off?

Reference no: EM131360471

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