Refer to the pay-off matrix consisting of profit information below. Based on Aggressive strategy, the investment to be chosen is ______ (mention the investment letter) and the corresponding best pay-off is____ (Mention the corresponding number as it appears in the pay-off table).
Scenario A | Scenario B | Scenario C | |
Investment A | 5000 | 10000 | -2000 |
Investment B | 6000 | -1000 | 3000 |
Investment C | 0 | 2000 | 5000 |
Expert Answer
Scenario A | Scenario B | Scenario C | Trade off | |
Investment A | 5000 | 10000 | -2000 | 13000 |
Investment B | 6000 | -1000 | 3000 | 8000 |
Investment C | 0 | 2000 | 5000 | 7000 |
From above , the investment A seems to be more profitable with trade off equal to 13000