1. A shoe manufacturer must decide whether to merge with a larger company to make more investments. If they merge and it is a good sales year, there will be a $810,000 profit; if they merge and it is a poor sales year, there will be a deficit of $ 230,000. If they do not merge and it is a good sales year there will be a $425,000 profit; if they do not merge and it is a poor sales year there will be a $87,000 profit. If the probability of a good sales year is 0.26 and the probability of a poor sales year is 0.74, would merging with the larger company maximize the expected profit?

2. A survey at a coffee shop in small southern town yielded the data below: Married Single Divorced Native 28 19 3 Forei n 14 7 1 a) If we randomly select one person, what is the probability that a native and single is selected? Write your answer as a percentage. b) If we randomly select one students, what is the probability of selecting a foreign or not married? Write your answer as a percentage. c) If we randomly select one person, what is the probability of selecting a native, given that it was divorced? Write your answer as a percentage