Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Value of perfect information
This relates to the amount that we would pay for an item of information such would enable us to forecast the exact conditions of the market and act accordingly.
The EVPI or expected value of perfect information is the expected outcome along with perfect information minus the expected outcome with no perfect information namely the maximum EMV
Illustration
From above table and described that the probabilities are Boom 0.6, steady state 0.3 and recession 0.1 then
When situations of the market are; boom launch product C: profit = 16
When situations of the market are; steady state launch product B: profit = 6
When situations of the market are; recession launch product B: profit = 12
The expected profit along with perfect information will be
(16 x 0.6) + (6 x 0.3) + (12 x 0.1) = 12.6
Our expected profit choosing product C is 7
The maximum price that we would pay for perfect information is 12.6 - 7 = 5.6
Find out the hydrostatic force on the following triangular plate that is submerged in water as displayed. Solution The first thing to do here is set up an axis system
200 + 406578
What are some of the interestingmodern developments in cruise control systems that contrast with comparatively basic old systems
|a.x|=1 where x = i-2j+2k then calculate a
What is equivalence relation? Prove that relation 'congruence modulo' ( ≡mod m) is an equivalence relation. Ans: A relation R illustrated on a nonempty set A is said to be
Before proceeding along with in fact solving systems of differential equations there's one topic which we require to take a look at. It is a topic that's not at all times taught in
What is Partially Ordered Set? Let S = {a,b,c} and A = P(S). Draw the Hasse diagram of the poset A with the partial order ⊆ (set inclusion). Ans: Let R be a relation define
Find the greatest number of 6 digits exactly divisible by 24, 15 and 36. (Ans:999720) Ans: LCM of 24, 15, 36 LCM = 3 × 2 × 2 × 2 × 3 × 5 = 360 Now, the greatest six digit
MAKING CONNECTIONS : you have read about what the ability to think mathematically involves. In this section we shall discuss ways of developing this ability in children. As yo
Childrens errors are a natural and inevitable part of their process of learning. In the process of grasping new concepts, children apply their existing understanding, which may
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd