Page 195 - P1 Integrated Workbook STUDENT 2018
P. 195
Risk and uncertainty
Risk and uncertainty
1.1 What is it?
Decision makers will often try to take account of risk when making decisions.
Risk Uncertainty
Unquantifiable
Quantifiable
(outcomes have (outcomes
associated cannot be
mathematically
probabilities)
modelled)
It is difficult to incorporate
uncertainty into decision
making models
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