Question

Which of the following statements is true regarding decision tree?
a) Helps in deciding the wage policies and incentives of employees
b) Is based on payoffs and probabilities for different course of actions
c) It acts as a tool for amortization of schedule
d) Acts as the basis of goal theory
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Answer 1

Answer:

I think option b) is correct

Answer 2

The true statement is - b) It Is based on payoffs and probabilities for different courses of actions

• It is a diagram that depicts the various outcomes of a set of related options.
• It enables a person or organisation to compare and contrast several options based on their prices, probabilities, and advantages.
• It usually begins with a single node and branches out into different conclusions.
• Payoffs can be correct or incorrect, and it's a frequent technique of illustrating a decision issue.