2. How much should VGE spend on marketing for TheWar III? Are any of the scenarios unprofitable? If so, does this influence your recommendation? 3. How does the transfer price (i.c., royalty payments) influence an evaluation of the performance (i.c., profitability) of Digital Creations? What could (or should) VGE do with Digital Creations if TrueWar II/ proves unprofitable? What other issues should Jerry Brown consider with regard to the structure of the royalty payments from VGE to Digital Creations? 4. Is the investment in Digital Creations worth what VGE paid to purchase it? Is the cycle of releases really working for Digital Creations? Hint: Can you estimate the return on investment (ROI, calculated as a percentage) for each of the three games individually? Collectively (ice., can you estimate the ROI for VGE's purchase of Digital Creations)? 5. Now that you have completed the analysis requested by Brown, what will you say when you present it to him? Do you think Brown's concerns about Digital Creations and TrueWar /// are well-founded-that is, should he be concerned