Question

ll mobily 6:15 PM HW 1.doc 2 Consider the Prep-town book store problem in the 52% handouts in which the manager must decide how many copies of the required text book for thoughtful thinking seminar. Using the data given in the table below: Considering only orders in units of 10 0 10 20 30 40 50 60 70 0 0 -50 100-150-200-250 300-350 10 0 150 100 50 0-50 -100 -150 200 150 300 250 200 150 100 50 30 0 150 300 450 400 350 300 250 40 0 150 300 450 600 550 50 0 150 300 450 600 750 60 0 150 300 450 600 750 500 450 700 650 900 850 70 0 150 300 450 600 750 900 1050 See the slides for more on the above table Assume the manger found the number of books to be ordered lies between 60 and 50. Expand the payoff matrix to consider ordering 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, and 60 texts. Evaluate these new courses of actions using the following criterion: minimax regret criterion maxmin criterion Under cach criterion recommend the best course of action. Grade (20) . Consider the table given above and
Solve 2

Answer 1

A payoff matrix is a visual representation of the possible outcomes in a strategic decisions . A payoff matrix include data for opponents , strategies and the outcomes .so here , we have to assume that the order lies between 50 to 60 . So we can easily expand this data into a payoff matrix . We have to adjust the opponent , strategy and the outcomes.