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A decision maker is to choose an action from a set A. The set of consequencesis Z. For every action a ? A the consequence z* is realized with probability, and any z ? Z - {z*} is realized with probability r(a, z) = (1 - )q(a, z).
a. Assume that after making his choice he is told that z* will not occur andis given a chance to change his decision. Show that if the decision makerobeys the Bayesian updating rule and follows vNM axioms, he will notchange his decision.
b. Give an example where a decision maker who follows a nonexpectedutility preference relation or obeys a non-Bayesian updating rule is nottime consistent.
A company is planning for its financing needs and uses the basic fixed-order quantity inventory model. Which of the following is the total cost (TC) of the inventory given an annual demand of 10,000
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From your answers in Question 2(a), determine the most appropriate Project Management Structure for the AJBR Project. Discuss three (3) advantages to SWL by adopting this structure
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