You are an avid basketball fan, and you would like tobuild a simulation model of an entire game so that youcould compare two different strategies, such as manto-man versus zone defense. Is this possible? Whatmight make this simulation model difficult to build?

Use the table below to answer the questions that follow and caculate the Expected Monetary Value(EMV) of the different outcomesDECISION TABLE WITH CONDITIONAL VALUESSTATE OF NATUREFAVORABLE OUTCOME UNFAVORABLE OUTCOMEALTERNATIVES ($) ($)Start a big Company 2,000,000 -500,000Start a small company 800,000 -200,000Build Nothing 0 0Probabilities 0.3 0.7Calculate the following The EMV  Maximin criterion  Maximax criterion  Minimax criterion

You are planning to rent a car for a one-week vacation. You have the option of buying an insurance that costs $80 dollars for a week. If you do not purchase insurance, you would be personally liable for any damages. You anticipate that a minor collision will cost $2,000, whereas a major accident might cost $16,000 in repairs. Develop a payoff table for this situation. What decision should you make using each strategy? Aggressive (Optimistic) Conservative (Pessimistic) Opportunity Loss   You have recently read in a magazine that that the probability of a major accident is 0.05% and that the probability of a minor collision is 0.18%. Construct a decision tree and identify the best expected value decision.

The Dallas Mavericks trail by two points and have theball with 10 seconds remaining. They must decide whetherto take a two- or a three-point shot. Assume that once theMavericks take their shot, time expires. The probability thata two-point shot is successful is TWO, and the probabilitythat a three-point shot is successful is THREE. If the gameis tied, an overtime period will be played. Assume that thereis a .5 chance the Mavericks will win in overtime. (Note:This problem is often used on Microsoft job interviews.)a Give a rule based on the values of TWO and THREEthat tells Dallas what to do.b Typical values for an NBA team are TWO .45 andTHREE .35. Based on this information, what strategyshould most NBA teams follow?