Starting with the finished version of Example 9.2, change the decision criterion to maximize expected utility, using

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Starting with the finished version of Example 9.2, change the decision criterion to “maximize expected utility,” using an exponential utility function with risk tolerance $5000 (really $5 million). Display certainty equivalents on the tree.

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Practical Management Science

ISBN: 978-1305250901

5th edition

Authors: Wayne L. Winston, Christian Albright

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