Decision Tree Analysis - Intro and Example with Expected Monetary Value

I discuss Decision Tree Analysis and walkthrough an example problem in which we use a Decision Tree to calculate the Expected Monetary Value (or Expected Value) of two fictitious products that we can invest in. I also describe how to interpret our findings in order to make a decision.

[@dopebita101]

You are the best, Vincent . Thank you.

[@candice8487]

Super clear & helpful, thank you!!!!

[@mohamedalali7421]

Seriously, You are the top , quick & easy to understand. I have a question, what if the same scenario have two positive output and we were asked to choose the best option to invest in? how can this be approachable.

[@hichsonmcthebe9669]

Excellent video. Thank you

[@hummaid1]

Very good explanations

[@rowaidaebrahem4331]

Perfect, Thank you

[@getuhailugebremeskel3071]

Thank U helped me a lot

[@Dru529]

Way better explanation compared to my lecturer

[@asterion4727]

Thanks you explained it so well compared to my lecturer lol

[@tiffanywangui568]

so helpful

[@abdullahiramat2145]

Thanks a lot

[@aloisanesuzinyemba4765]

thank you

[@irfaanshaikh0000]

The best

[@karan_karan_karan]

thankssss

[@tukashikashi4878]

Thanks for the video but why consider the cost as negatives

[@DavidRamirez-lw8lp]

Because costs are cash outflows

[@rtraksharaphadke2337]

please can you explain the calculation that how 80 is coming

[@gingerkim9231]

first you can multiply 0.6 by 700 to get 420 same as 0.4 (-100) you get -40. then = (-300) + 420 -40 = 80

[@gayninin7417]

the cost shouldn't add when getting EMV. better check it again

[@zhalayqamar1771]

You have done the wrong calculations please check it though...A will be $160 and B is $190.. so we will choose product B

[@creazyonyt]

How?

[@johnnienzuki4518]

In A you will get 50 not 80,,,B it's correct it's 70, so we will choose B

[@christopheridunoba6061]

please can you explain how you calculated for A

[@gingerkim9231]

@@christopheridunoba6061 as explained in the video. for calculation result A is correct 80, you can using the formula in the video. first you can multiply 0.6 by 700 to get 420 same as 0.4 (-100) you get -40. then = (-300) + 420 -40 = 80