Question: Question 1 to Question 6 is based on this problem: An investor is considering 4 investments, A, B, C, and D (leaving his money in

 Question 1 to Question 6 is based on this problem: An

Question 1 to Question 6 is based on this problem: An investor is considering 4 investments, A, B, C, and D (leaving his money in the bank). The payoff from each investment is a function of the economic climate over the next 2 years. The economy can expand or decline. The following payoff matrix has been developed for the decision problem. The investor has estimated the probability of a declining economy at 70% and an expanding economy at 30%. What decision should be made according to the Maximax decision rule? A B C D

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