Decision making under risk involves considering various choices and several possible outcomes. The learning materials provide an example of this using the choice of factory size and whether there is high, moderate, or low demand.

Let sub$($C$,$i$)$ be the ith choice, sub$($E$,$j$)$ be the jth outcome, sub$($P$,$i$,$j$)$ be the payoff for the ith choice with the jth outcome, and lastly, let sub$($w$,$j$)$ be the probability of the jth outcome.

Sometimes, the letters get changed around. Consider the following expressions:

a$.$ sub$(,$r$)$sub$($P$,$rs$)$sub$($w$,$r$)$

b$.$ sub$(,$s$)$sub$($P$,$rs$)$sub$($w$,$r$)$

c$.$ sub$(,$r$)$sub$($P$,$rs$)$sub$($w$,$s$)$

d$.$ sub$(,$s$)$sub$($P$,$rs$)$sub$($w$,$s$)$

Which of the following is the correct expression for the expected monetary value?

Only d for choice s

Only c for choice r

Only c for choice s

Only d for choice r