Decision Theory Homework

1) The payoff table showing profit for a decision analysis problem with two decisions and three states of nature is shown below.

a. Solve this problem using a payoff matrix b. Construct a decision tree for this problem. c. Evaluate the decision tree.

2) Suppose a decision maker is faced with four decisions alternatives and four states of nature as shown in the table below.

a. Solve this problem using a payoff matrix b. Construct a decision tree for this problem. c. Evaluate the decision tree.

3) You are a betting person and wish to bet on the State University varsity/alumni game. (In other words you have a gambling addiction and you are going to bet.) You have no information