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A Decision-Maker Using the Maximax Criterion on the Problem Below

Question 61

Multiple Choice

A decision-maker using the maximax criterion on the problem below would choose Alternative __________ because the maximum of the row maximums is __________.                                States of Nature 123 Alternative A 505560 Alternative B 305080 Alternative C 708070 Alternative D 10010140 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~{ \text { States of Nature } } \\\begin{array} { | l | c | c | c | } \hline & 1 & 2 & 3 \\\hline \text { Alternative A } & 50 & 55 & 60 \\\hline \text { Alternative B } & 30 & 50 & 80 \\\hline \text { Alternative C } & 70 & 80 & 70 \\\hline \text { Alternative D } & - 100 & - 10 & 140 \\\hline\end{array}


A) A; 60
B) B; 80
C) C; 70
D) D; -100
E) D; 140

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