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    What is the optimal action using the EMV criterion?

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    EVENT PROBABILITY ACTION A ACTION B
    1 0.5 400 700
    2 0.5 200 500

    Referring to the table above, what is the optimal action using the EMV criterion?

    ACTION A
    ACTION B
    EITHER ACTION A OR B
    IT CANNOT BE DETERMINED FROM THE INFO GIVEN

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    https://brainmass.com/statistics/probability/optimal-action-using-emv-criterion-156578

    Solution Summary

    Referring to the table above, what is the optimal action using the EMV criterion?

    $2.19

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