Questions 3 & 4 are now separated.

3. (6 pts) Use the following table to answer a-d. The payoffs are Total Costs Decision State of Nature Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (A4) State-of-Nature 1 10 10 15 30 State-of-Nature 2 25 45 65 10 State-of-Nature 3 35 15 0 30 State-of-Nature 4 15 10 35 30 State-of-Nature 4 Using different criteria identify what is the best alternative and associated payoff? a. (0.5 pts) Optimistic criterion Decision: b. (0.5 pts) Pessimistic criterion Decision Construct a regrettable using the table above. State-of-Nature 1 State-of-Nature 2 State-of-Nature 3 Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (A4) What is the best alternative using regret criterion? c.(2 pts) Decision In the following table calculate Hurwicz (a=25) and Equal Likelihood (Laplace) Criteria: Decision Hurwitz Laplace Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (14) What are the best alternatives using Hurwicz and Laplace criteria? e. (1 pts) Hurwicz (-25). Decision 1. (1 pts) Equal likelihood Decision (1 pts) Final Decision: 4. (6 pts) Use the following table to answer a-d. The payoffs are NET Benefits. Decision State of Nature State-of-Nature 1 State-of-Nature 2 State-of-Nature 3 Alternative 1. (A1) 10 o -5 Alternative 2. (A2) 5 20 50 Alternative 2. (A3) 35 65 Alternative 2. (A4) 15 0 -10 State-of-Nature 4 25 35 0 20 0 Using different criteria identify what is the best alternative and associated payoff? 2. (0.5 pts) Optimistic criterion Decision b. (0.5 pts) Pessimistic criterion Decision: State-of-Nature 4 Construct a regrettable using the table above. State-of-Nature 1 State-of-Nature 2 State-of-Nature 3 Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (A4) What is the best alternative using regret criterion? C. (2 pts) Decision In the following table calculate Hurwicz (25) and Equal Likelihood (Laplace) Criteria: Decision Hurwitz Laplace Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (14) What are the best alternatives using Hurwicz and Laplace criteria? e. (1 pts) Hurwicz (ax 25) Decision: f. (1 pts) Equal likelihood Decision (1pts) Final Decision: 3. (6 pts) Use the following table to answer a-d. The payoffs are Total Costs. Decision State of Nature State-of-Nature 1 State-of-Nature 2 State-of-Nature 3 Alternative 1. (A1) 10 25 35 Alternative 2. (A2) 10 45 15 Alternative 2. (A3) 15 65 0 Alternative 2. (A4) 30 10 30 State-of-Nature 4 15 10 35 30 State-of-Nature + Using different criteria identify, what is the best alternative and associated payoff? a. (0.5 pts) Optimistic criterion Decision b. (0.5 pts) Pessimistic criterion Decision Construct a regrettable using the table above. State-of-Nature State-of-Nature 2 State-of-Nature 3 Alternative 1. (11) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (A4) What is the best alternative using regret criterion? c. (2 pts) Decision In the following table calculate Hurwicz (a=25) and Equal Likelihood (Laplace) Criteria: Decision Hurwitz Laplace Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (13) Alternative 2. (A) What are the best alternatives using Hurwicz and Laplace criteria? e.(1 pts) Hurwicz (a.25) Decision: f. (1 pts) Equal likelihood Decision (Ipts) Final Decision: 4. (6 pts) Use the following table to answer a-d. The payoffs are NET Benefits Decision State of Nature State-of-Nature 1 State-of-Nature 2 State-of-Nature 3 Alternative 1. (A1) 10 0 Alternative 2. (A2) 5 20 50 Alternative 2. (A3) 0 35 65 Alternative 2. (14) 15 0 -10 State-of-Nature 4 25 35 0 20 State-of-Nature 4 Using different criteria identify, what is the best alternative and associated payoff? a. (0.5 pts) Optimistic criterion Decisions b. (0.5 pts) Pessimistic criterion Decision: Construct a regret table using the table above. State-ofNature 1 State-of-Nature 2 State-of-Nature 3 Alternative 1. (A1) Alternative 2. (A2) Alternative 2. (A3) Alternative 2. (A4) What is the best alternative using regret criterion? c. (2 pts) Decision: In the following table calculate Hurwicz (a=-25) and Equal Likelihood (Laplace) Criteria: Decision Hurwitz Laplace Alternative 1, (A1) Alternative 2. (A2) Alternative 2. (13) Alternative 2. (A4) What are the best alternatives using Hurwicz and Laplace criteria? e. (1 pts) Hurwicz (25) Decision: f. (1 pts) Equal likelihood Decision (1pts) Final Decision