CIMA Exam CIMAPRO19-P01-1 Topic 9 Question 104 Discussion

Actual exam question for CIMA's CIMAPRO19-P01-1 exam

Question #: 104
Topic #: 9

The following extract from a decision tree has been prepared for a decision that is to be made to choose between options P, Q and R.

What is the maximum expected value of profit at decision point Z?

A$4 million

B$6 million

C$36 million

D$2.4 million

Show Suggested Answer

Suggested Answer: C

References:

by Chau at Dec 06, 2024, 08:48 AM

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Theola

2 days ago

This is a tricky one. I think I need to go back and review my decision tree concepts. The answer might be more complicated than it seems at first glance.

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Regenia

3 days ago

I'm not sure how they came up with $36 million. The values at the endpoints are $4 million, $6 million, and $2.4 million, so shouldn't the answer be one of those?

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