Question: A decision maker has prepared the following payoff table. States of Nature Alternative High Low Buy 85 5 Rent 70 50 Lease 45 55 Prior

A decision maker has prepared the following payoff table.

States of Nature
Alternative High Low
Buy 85 5
Rent 70 50
Lease 45 55
Prior Probability 0.7 0.3

Using Bayes Decision Rule, what is the best decision and the expected payoff? (Round your answer to 1 decimal place.)

Best decision

a) rent

b) buy

c) lease

Payoff

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