Exhibit 14.2 The Following Questions Are Based on the Information Below

Multiple Choice

Exhibit 14.2
The following questions are based on the information below.
An investor is considering 4 investments, A, B, C and leaving his money in the bank. The payoff from each investment is a function of the economic climate over the next 2 years. The economy can expand or decline. The following payoff matrix has been developed for the decision problem.
-Refer to Exhibit 14.2. What formula should go in cell F5 of the Regret Matrix above to compute the regret value?

A) =B$5-MAX(B$5:B$8)
B) =MAX(B$5:B$8) -MAX(B5)
C) =MAX(B$5:B$8) -MIN(B$5:B$8)
D) =MAX(B$5:B$8) -B5