ECONOMICS
DECISION MAKING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Payoff matrix
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Decision Trees
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Linear programming
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Operations Research
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Detailed explanation-1: -A probability tree diagram is a handy visual tool that you can use to calculate probabilities for both dependent and independent events. To calculate probability outcomes, multiply the probability values of the connected branches. To calculate the probability of multiple outcomes, add the probabilities together.
Detailed explanation-2: -What is a decision tree? A decision tree is a flowchart that starts with one main idea and then branches out based on the consequences of your decisions. It’s called a “decision tree” because the model typically looks like a tree with branches.
Detailed explanation-3: -Definition: The Decision Tree Analysis is a schematic representation of several decisions followed by different chances of the occurrence.
Detailed explanation-4: -A decision tree is a flowchart-like diagram that shows the various outcomes from a series of decisions. It can be used as a decision-making tool, for research analysis, or for planning strategy. A primary advantage for using a decision tree is that it is easy to follow and understand.