11 Decision Trees

Question 1

Define decision tree

Answer 1

technique that shows all the possible outcomes of a decision.

Question 2

Define rollback technique

Answer 2

the process of working back through a decision tree, calculating the expected values at each node.

Question 3

Define chance node

Answer 3

a point on a decision tree where a number of outcomes are possible.

Question 4

Define expected value

Answer 4

the numerical value of an outcome multiplied by the probability of that outcome happening.

Question 5

Define back data

Answer 5

data obtained from a previous time period.