Question: 6) For the payoff table below, the decision maker will use P(s41) = .15, P(s2) = .5, and P(s3) =35 -5000 1000 10,000 -15,000| -2000

6) For the payoff table below, the decision maker will use P(s41) = .15, P(s2) = .5, and P(s3) =35 -5000 1000 10,000 -15,000| -2000 | 40,000 Requested: a. What alternative would be chosen according to expected value? b. For a lottery having a payoff of 40,000 with probability p and -15,000 with probability (1-p), the decision maker expressed the following indifference probabilities. Payoff Probability 10,000 .85 1000 .60 -2000 .53 -5000 .50 Let U(40,000) = 10 and U(-15,000) = 0 and find the utility value for each payoff. c. What alternative would be chosen according to expected utility

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