The expected value under conditions of uncertainty subtracted from the expected value under conditions of certainty will result in the
A) expected value of perfect information.
B) expected opportunity loss.
C) expected monetary value.
D) expected decision strategy.

Question

Quizplus · Accepted Answer

The expected value of perfect information is the difference between the expected value under conditions of certainty and the expected value under conditions of uncertainty. Therefore, subtracting the expected value under conditions of uncertainty from the expected value under conditions of certainty will result in the expected value of perfect information.

The Expected Value Under Conditions of Uncertainty Subtracted from the Expected