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16. Suppose a distribution center is considering three options for expansion. The first one is to expand into a new plant, the second to add

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16. Suppose a distribution center is considering three options for expansion. The first one is to expand into a new plant, the second to add on third-shift to the daily sch and third, a small expansion to the existing facility. There are three possibilities for demand. These are high, medium, and low with each having an equal likelihood occurring. Suppose that the profits for the expansion plans are as follows: The new plant expected outcomes are $110.000, $50,000.-$25,000, the third shift consideration would result in outcomes of $40,000 $20,000 $5,000 and the small expansion choice would in the following dollar amounts $15,000, $12.000, 56, The amount that the company must invest in each alternative is: new plant - $48.000, third shift - $15.100 small expansion - $8,700 a. The proft/loss for the new plant is $ Select) b. The profit/loss for adding a third shift is $ Select) c. The profit/loss for the small expansion is $ Select] d. Which of the expansion plans should the manager choose? Select) e. What if an outside consultant was hired by the organization and the probabilities were re-evaluated as a result of better information. The results of the research/feedback are now: 53%, 18% 29% thigh, medium low). What choice should the manager make and what is the EMV? Select) Suppose a distribution center is considering three options for expansion. The first one is to expand into a new plant, the second to add on third-shift to the daily schedule. and third, a small expansion to the existing facility. There are three possibilities for demand. These are high, medium, and low with each having an equal likelihood of occurring Suppose that the profits for the expansion plans are as follows: The new plant expected outcomes are $110.000, $50.000,-$25.000, the third shift consideration would result in outcomes of $40,000, $20,000 $5.000 and the small expansion choice would in the following dollar amounts $15.000, 512,000, $6,000. The amount that the company must invest in each alternative is: new plant - $48.000 third shift - $15, 100, small expansion - 58.700 3. The proht loss for the new plant is $ Select b. The proht/loss for adding a third shift is $ 1 Select) c. The proht/loss for the small expansion is $ Select a. Which of the expansion plans should the manager choose? Select What if an outside consultant was hired by the organization and the probabilities were re evaluated as a result of better information. The results of the research/teedback are now. 53%, 18%, 29% (high, medium, low). What choice should the manager make and what is the EMV? Select

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