Estimate probabilities and costs based on data
Course:- Applied Statistics
Reference No.:- EM131567561

Assignment Help
Assignment Help >> Applied Statistics

Assignment - Decision Trees

The goal of this is to construct a decision tree to model and evaluate decision options using that model.

Create a decision tree for analyzing a decision of your choice. Make sure the following issues are addressed:

  • Estimate probabilities and costs (values) based on data, literature or by interviewing an expert
  • Calculate expected value (cost) for each decision using one of the methods described in the lecture. Make sure values are non-trivial (i.e., if costs for one decision are always higher than for other decision, then there is no point to construct tree)
  • Perform a single-parameter sensitivity analysis (Note that single parameter means that one parameter is changed, but many parameters need to be tested)
  • The decision tree should have at least four levels (including the decision node)
  • Present discussion and conclusions. What does the model tell you about your decision? Is the model valid? It is sensitive to how it was constructed?

Your decision tree can model either a single decision of a sequence of decisions. Prepare narrated Powerpoint that reports on results of your project.

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Applied Statistics) Materials
Carbon Monoxide (CO) is a colourless and odourless gas. Even at low levels of exposure, carbon monoxide can cause serious health problems. A home is considered safe if t
The food services division of Cedar River Amusement Park Inc. is studying the amount that families who visit the amusement park spend per day on food and drink. A sample of 40
The scatterplot below shows fabricated data for the price per share versus earnings per share per year of 100 public corporations. The average earnings per share is$9.75 per y
Construct a two-way table of Interest x Country in SPSS. Include row and column percentages. To provide an answer to this question, copy and paste the two-way table. What pe
Calculate the mean, median, and standard deviation and get statistics on the original reaction time, separately for the three stimulus types. Comment on how the means compare
Rover's Friends provides dog washing services. For each dog, supplies cost $ 3 and wages are $ 5. To provide this service, a special room and equipment are needed, at a cost o
Measured the tail lengths of 250 cats, and found that the average length is 28 cm and the variance is 75 cm2. If these tail lengths are normally distributed, (A) what would th
Find the 96th percentile of the distribution of reaction time (at least approximately). That is, find the value such that about 96% of the distribution is below this point