A fast food franchise is deciding between four locations for its new store. The locations and expected revenues are shown in the table along with the likelihoods that the store will be popular or unpopular.

	Probability	Location A	Location B	Location C	Location D
Popular	0.7	50,000	40,000	25,000	30,000
UnPopular	0.3	20,000	40,000	65,000	40,000

9. What is the EMV for Location A?	A 70,000	B 35,000	C 50,000	D 41,000
10. Based on maximising EMV, what location should be selected?	A A	B B	C C	D D
11. What is the EPPI?	A 115,000	B 54,500	C 70,000	D 23,500
12. A market research firm has offered to study that will guarantee the franchiser that they can select the best location. What is the most that the franchiser should be willing to pay for such a research report?	A 20,500	B 14,500	C 13,500	D 17,500