The ________ is computed by multiplying each decision outcome under each state of nature by the probability of its occurrence.
A) expected value
B) expected value of perfect information
C) expected opportunity loss
D) none of the above

Question

Quizplus · Accepted Answer

The formula for expected value involves multiplying the value of each possible outcome by its probability and adding up all of these products. Therefore, the expected value is the answer to this question.

The ________ Is Computed by Multiplying Each Decision Outcome Under