# Question

For the completed decision tree in Figure 6.9, the monetary values in black are those you enter. The monetary values in color are calculated automatically by Precision Tree. For this particular example, explain exactly how these latter values are calculated (remember the folding-back process) and what they represent. These include the blue values at the end nodes, the red values at the probability nodes, and the green values at the decision nodes.

## Answer to relevant Questions

For the SciTools example, once you build the tree as in Figure 6.9 and then run a one-way sensitivity analysis with the dialog box filled in as in Figure 6.22, you obtain three strategy charts. Explain exactly what each of ...Referring to the previous problem, find the same probabilities through the counting argument explained in this section. Start with 100,000 athletes and divide them into the various categories.a. What is the posterior ...Following up on the previous problem, the expected net gain from information is defined as the expected amount gained by having access to the information, at its given cost, as opposed to not having access to the ...In the risky venture example, suppose there is no riskless alternative; the only two possible decisions are the less risky venture and the more risky venture. Explore which of these is the preferred alternative for a range ...Two construction companies are bidding against one another for the right to construct a new community center building in Bloomington, Indiana. The first construction company, Fine Line Homes, believes that its competitor, ...Post your question

0