Ask Question
BusinessBusiness
Today, 07:52

Which of the following is a requirement to be able to compute expected monetary value?

a) The probability of each state of nature is known.

b) Each state of nature is equally likely to occur.

c) The probability of each decision alternative is known.

d) Each decision alternative needs at least two states of nature.

+3
Answers (1)
  1. Today, 08:06
    0
    the answer is: A) The probability of each state of nature is known

    Explanation:

    In order to compute the expected monetary value you must first have the probability of the event or events happening (or you can call them states of nature). Then you should calculate the impact (possible gains or losses) for every event. Finally you multiply the probability by the impact, and the result is the expected monetary value.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Which of the following is a requirement to be able to compute expected monetary value? a) The probability of each state of nature is known. ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Olive Corp. currently makes 20,000 subcomponents a year in one of its factories. The unit costs to produce are: Per unit Direct materials $ 12 Direct labor 8 Variable manufacturing overhead 12 Fixed manufacturing overhead8 Total unit cost #40 An
Answers (1)
In many universities, graduate students are employed to teach introductory undergraduate courses, even though the full professors at these universities have more experience and could potentially teach these courses better.
Answers (1)
Which of the following is an inflow of cash? The sale of the firm's bonds Funds spent in normal business operations The purchase of a new factory The retirement of the firm's bonds
Answers (1)
For an individual firm in pure competition, the firm's average revenue and marginal revenue at any output level are both equal to the product's price. a. True b. False
Answers (1)
Wait a little while and the fruit will fall into your hand meaning
Answers (1)
New Questions in Business
The two key factors that cause labor productivity to increase over time are A. the quantity of capital per hour worked and the level of technology. B. better environmental standards and stricter labor laws. C.
Answers (1)
What should you do when you have a chemical fire?
Answers (1)
A mini-calculator company saw its sales decrease over the last year and decided to launch a new marketing mix strategy to boost awareness and sales. One of the company's implemented tactics was to sell its mini-calculators through Amazon.
Answers (1)
Which of the following is a requirement to be able to compute expected monetary value? a) The probability of each state of nature is known. b) Each state of nature is equally likely to occur. c) The probability of each decision alternative is known.
Answers (1)
When can i file for social security benefits?
Answers (1)
Home » Business » Which of the following is a requirement to be able to compute expected monetary value? a) The probability of each state of nature is known. b) Each state of nature is equally likely to occur. c) The probability of each decision alternative is known.
Sign Up Forgot Password?