“Decision trees are particularly useful if sequential decision-making is involved.” In light of the above statement explain the concept of decision trees with the help of diagram.

A decision tree is a visual tool used in managerial economics for decision-making, especially when decisions are sequential. It maps out the various alternatives available at each stage of a decision-making process, as well as the possible outcomes associated with each alternative. By laying out the options and outcomes in a tree-like structure, decision trees help managers make informed choices by illustrating the paths and consequences of different decisions. They are particularly useful in scenarios where decisions need to be made over multiple stages or where each decision depends on the outcome of the previous one.

A decision tree is composed of nodes and branches. The primary components include:

1. Decision Nodes (depicted as squares or rectangles): These represent points where a decision must be made. Each decision node splits into different branches that correspond __________ ______ ________ _____ _____ __________ ___ ___ __________ _____ ____ _________.
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