**QUESTION 7**

Refer to the following payoff table.

Alternative |
High |
Medium |
Low |

A |
8 |
10 |
5 |

B |
15 |
10 |
12 |

C |
17 |
11 |
13 |

D |
10 |
12 |
11 |

E |
30 |
20 |
-18 |

Prior Probability |
0.3 |
0.2 |
0.5 |

The Bayes’ decision rule strategy is:

A. A |
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B. B |
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C. C |
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D. E |

**QUESTION 10**

Please refer to the following payoff table.

Alternative |
Yes |
No |

Small Medium Medium Large Large Extra Large |
10 20 30 40 60 |
30 40 45 35 20 |

Prior Probability |
0.3 |
0.7 |

The Bayes’ decision rule strategy is:

A. small |
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B. medium large |
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C. large |
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D. extra large |