This exercise contains only parts b, c, and d.

b) Using the decision making under uncertainty with the criterion of Maximax

The appropriate decision will be _____ (Large, Small, Medium, Very Large)

The value of the return under this decision is $_____

c) Using the decision making under uncertainty with the criterion of Maximin

The appropriate decision will be ______(Large, Small, Medium, Very Large)

The value of the return under this decision is $________

d) Using the decision making under uncertainty with the criterion of Equally Likely

The appropriate decision will be ______ (Large, Medium, Small, Very Large)

The value of the return under this decision is $_____ (enter your answer as a whole number).

Even though independent gasoline stations have been having a difficult time, Ian Langella has been thinking about starting his own independent gasoline station. Ian's problem is to decide how large his station should be. The annual returns will depend on both the size of his station and a number of marketing factors related to the oil industry and demand for gasoline. After a careful analysis, lan developed the following table: Size of First Station Small Medium Large Very Large States of Nature Good Market Fair Market $40,000 $18,000 $90,000 $27,000 $105,000 $27,500 $320,000 $26,000 Poor Market - $8,000 - $22,000 - $36,000 - $180,000 For example, if lan constructs a small station and the market is good, he will realize a profit of $40,000. This exercise contains only parts b, c, and d