A builder has located a piece of property that she would like to buy and eventually buldon. The land is currently oned for four homes per acre, but she is planning to request new roning What she builds depends on approval of zoning requests and your analysis of this problem to wise her with her input and your help, the decision process was been reduced to the following costs, alternatives, and probabilities Cost of land $2 million Probability of rezoning 0.00 of the land is reconed, there will be additional costs for new roads, lighting, and so on, of $1 milion If the land is razonod, the tractor must decide whether to build a shopping center of 1.500 ports that the tentative plan shows would be possible she buks on the is a 70 percent chance that she can soll the shopping center to a large department store chain for 1 milion over her construction cost, which excludes the land, and there is a 30 percent chance that she can soll to an insurance company for $5 million over her construction cost (also excluding the land), instead of the shopping center, she decides to be the 1500 apartments, she places probabilities on the profits as follows. There is a 60 percent chance that she can soll the apartments to a real estatement corporation for $3,000 cach over her construction cost there is a 40 percent chance that she can got only $2,000 each over her construction cost (Both exclude the land cost) If the land is not reconed, she will comply with the existing zoning restrictions and simply build 600 homes, on which she expects to make 54.000 over the construction cost on each one (excluding the cost of land) a. What is the expected value for the rezoned shopping center, if the rezoning cost is included? (Do not round your intermediate calculations, Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected value 198 million b. What is the expected value for the rezoned apartments, if the rezoning cost is included (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected value 2.1 million c. If the land is reconed, what should the contractor decide? Build shopping center O Buld apartments d. What is the expected revenue, the land is not rezoned/Do not round your intermediate calculations. Enter your answers in milions rounded to 2 decimal places. Negative amounts be indicated by a minus sign) U... Diled value for the rezoned apartments, if the rezoning cost is included? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected value 2.1 million c. If the land is rezoned, what should the contractor decide? Build shopping center O Buld apartments d. What is the expected revenue, if the land is not rezoned/Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected revenue 1.44 million e. What is the expected not profit of entire project? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected net profit 94 million Abuilder has located a piece of property that she would like to buy and eventually button. The land is currently oned for four homes per acre, but she is planning to request new song What she builds depends on approval of zoning requests and your analysis of this problem to advise her with her out and your help the decision process has been reduced to the following costs alternatives, and probabilities Cost of land $2 million Probability of rezoning 0.60 If the land is rezoned, there will be additional costs for new roads, lighting, and so on, of $1 million of the land is razoned, the contractor must decide whether to bunda shopping center of 1,500 potents that the tentative plon shows would be possible it the banks a shopping center there is a 70 percent chance that she can sell the shopping center to a large department store for 1 milion on her construction cost, which excludes the land, and there is a 30 percent chance that she can soll it to an insurance company for $5 milion over her construction costo excluding the id) totood of the shopping center, she decides to build the 1,500 pes, the places probabilities on the profits as follows: There is a 60 percent chance that she can soll the periments to a real estate investment Corporation for $3.000 each over her comcon cost there is a 40 percent chance that she can got only $2,000 each over her construction cost (Both exclude the land cost) If the land is not rezoned, she will comply with the existing zoning restrictions and simply 000 homes, on which she expects to make $4.000 over the construction cost on each one (excluding the cost of land) a. What is the expected value for the rezoned shopping center in the reconing cost is included? Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected value 1.98 million b. What is the expected value for the rezoned apartments, if the rezoning cost is included? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected value $ 21 milion c. If the land is rezoned, what should the contractor decide? con cost on each one a. What is the expected value for the rezoned shopping center the rezoning cost is included (Do not round your intermediate calculations. Enter your awwers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected value 108 milion b. What is the expected value for the rezoned apartments, if the rezoning cost is included? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected value 21 milion c. If the land is rezoned, what should the contractor decide? Build shopping center O Build apartments d. What is the expected revenue, if the land is not rezoned(Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected revenue 1.44 million e. What is the expected net prott of entire project? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Expected net profit $ 94 million A builder has located a piece of property that she would like to buy and eventually build on The band is currently zoned for four homes per acre, but she is planning to request now zoning What she builds depends on approval of zoning requests and your analysis of this problem to advise her with her input and your help the decision process has been reduced to the following costs alternatives, and probabilities Cost of land $2 million Probability of rezoning 0.60 w the land is rezoned, there will be additional costs for new roads, lighting, and so on, of $1 milion of the land is rezoned, the contractor must decide whether to build a shopping center or 1,500 apartments that the tentative plan shows would be possible if she builds a shopping center, there is a 70 percent chance that she can sell the shopping center to a large department store chain for $4 million over her construction cost, which excludes the land, and there is a 30 percent chance that she can sold to an insurance company for $5 million over her construction cost (also excluding the land). Instead of the shopping center, she decides to build the 1.500 apartments, she places probabilities on the profits as follows. There is a 60 percent chance that she can sell the apartments to a real estate investment Corporation for $3.000 each over her construction cost, there is a 40 percent chance that she can get only $2.000 each over her construction cost (Both exclude the land oost) If the land is not rezoned, she will comply with the existing zoning restrictions and simply build 600 homes, on which she expects to make $1,000 over the construction cost on each one (excluding the cost of land) a. What is the expected value for the rezoned shopping center, if the rezoning cost is included? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected value 100 million b. What is the expected value for the rezoned partments, the rezoning cost is included? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected value 21 million c. of the land is reconed, what should the contractor decide? Bud Shopping center O Build apartments d. What is the expected revenue, if the land is not rezonDo not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign Expeded value 21 million c. the land is rezoned what should the contractor decide? Build shopping center O Bu par d. What is the expected even the land is not rezond? Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign) Expected revenue What is the expected et profit of entire project? (Do not round your intermediate calculations. Enter your answers in millions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign $ 04