Which Decision Tree Nodes Have Probability Attached to Their Branches?

B.

Event nodes represents the possible uncertain outcomes of a risky decision, with at least two nodes to illustrate the positive and negative range of events.

Probabilities are always attached to the branches of event nodes.

Incorrect Answers: A: Root node is the starting node in the decision tree, and it has no branches.

C: End node represents the outcomes of risk and decisions and probability is not attached to it.

D: It represents the choice available to the decision maker, usually between a risky choice and its non-risky counterpart.

As it represents only the choices available to the decision makers, hence probability is not attached to it.

A decision tree is a decision support tool that uses a tree-like model of decisions and their possible consequences, including chance event outcomes, resource costs, and utility. Decision trees are commonly used in decision analysis, operations research, and statistics. The nodes in a decision tree represent different types of events or decisions, and the branches represent the possible outcomes of those events or decisions.

The decision tree nodes that have probabilities attached to their branches are event nodes. An event node is a node that represents a chance event or random outcome. Event nodes have multiple branches, each of which represents a possible outcome or state of the event. Each branch is associated with a probability or likelihood of occurrence.

For example, in a decision tree that models the decision to invest in a particular stock, an event node might represent the possible performance of the stock over the next year. The branches emanating from the event node would represent the possible outcomes, such as a 10% increase in stock price, a 5% decrease in stock price, or no change in stock price. Each branch would be associated with a probability or likelihood of occurrence, based on historical data or expert judgment.

Root nodes, decision nodes, and end nodes typically do not have probabilities attached to their branches. A root node represents the initial decision or starting point of the decision tree. A decision node represents a decision that must be made based on available information, and its branches represent the possible outcomes of that decision. An end node represents a final outcome or consequence of the decision tree.

In summary, the decision tree nodes that have probabilities attached to their branches are event nodes, which represent chance events or random outcomes. Root nodes, decision nodes, and end nodes typically do not have probabilities attached to their branches.