Using Excel Spreadsheet and formulas for this problem (make sure cell references are unique to your table). Provide all techniques practiced previously: five (5) techniques for Decisions Making under Uncertainty, EMV, EOL, and EVPI. Use α = 0.7 for the Hurwicz. Use the .50 for the probability of a Good Economy and .50 for the probability of a Poor Economy. Show the work on an Excel file. STATE OF NATUREDECISION ALTERNATIVEGOOD ECONOMYPOOR ECONOMYSotck market80,000-20,000Bonds30,00020,000CDs23,00023,000

There are situations in the business that are uncertain and that make the decision-making complex.…

Answered: Provide all techniques practiced…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter9: Decision Making Under Uncertainty

Section9.6: The Role Of Risk Aversion

Problem 26P

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Using Excel Spreadsheet and formulas for this problem (make sure cell references are unique to your table). Provide all techniques practiced previously: five (5) techniques for Decisions Making under Uncertainty, EMV, EOL, and EVPI. Use α = 0.7 for the Hurwicz. Use the .50 for the probability of a Good Economy and .50 for the probability of a Poor Economy. Show the work on an Excel file.

	STATE OF NATURE
DECISION ALTERNATIVE	GOOD ECONOMY	POOR ECONOMY
Sotck market	80,000	-20,000
Bonds	30,000	20,000
CDs	23,000	23,000

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