25. The chances of PTM Ltd. being awarded the contract would change if Company X, a major competitor, decides to not submit a bid for the contract. Assume the following incremental income if PTM Ltd. is successful in obtaining the contract at various bid prices, and assume the following probabilities of success if Company X bids or does not bid on the contract: Probability of PTM Ltd.'s Success Bid Price Incremental Income If If Company X If Company X Per Unit Successful Bids Does Not Bid $5.00 $200,000 100% 100% Page 13 $5.50 $275,000 90% 100% $6.00 $350,000 65% 100% $6.50 $425,000 40% 85% $7.00 $500,000 10% 25% There is a 65% chance that Company X will submit a bid. Using a decision table model, what is PTM Ltd.'s expected value of submitting a bid of $6.50 for the contract? a) $144,500 b) $425,000 c) $361,250 d) $170,000 e) $236,938