Busıness Decısıon Models Deneme Sınavı Sorusu #1400798
According to ____________ criterion, the decision maker should ignore all possible events except the one most likely to occur, and should select the best possible result in the given circumstances.
Expected Monetary Value |
Expected Opportunity Loss |
Expected Regret |
Maximum Probability |
Expected Value of Perfect Information |
In this criterion, the decision maker confronts the various possible states of nature in a decision under risk and; he or she chooses the alternative that is best for the most likely state of nature, rather than calculating in all states of nature. With another saying, it states that the decision maker should ignore all possible events except the one most likely to occur, and should select the best possible result (maximum gain or minimum loss) in the given circumstances. The correct answer is D.
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