The national sales manager for "I colored this" (ICT) T-shirts, provides all salespersons with the payoff table shown below, giving the estimated profit when a retailer purchases from 1 to 4 dozen T-shirts. The probability of demand for each state of nature is also shown. What is the expected payoff for purchasing 1 dozen T-shirts?
A) 0
B) 72
C) 120
D) 168

Question

The national sales manager for "I colored this" (ICT) T-shirts, provides all salespersons with the payoff table shown below, giving the estimated profit when a retailer purchases from 1 to 4 dozen T-shirts. The probability of demand for each state of nature is also shown.  What is the expected payoff for purchasing 1 dozen T-shirts?
A) 0 
B) 72 
C) 120 
D) 168

Quizplus · Accepted Answer

The Answer of The national sales manager for "I colored this" (ICT) T-shirts, provides all salespersons with the payoff table shown below, giving the estimated profit when a retailer purchases from 1 to 4 dozen T-shirts. The probability of demand for each state of nature is also shown.  What is the expected payoff for purchasing 1 dozen T-shirts?
A) 0 
B) 72 
C) 120 
D) 168

The National Sales Manager for "I Colored This" (ICT) T-Shirts