A TV manufacturer has a choice of producing three different types of TVs - FlatScreen, HD or Wireless. Demand for the new product could be High, Moderate or Low. After some analysis, the president has determined the following payoffs (in millions of dollars).

DEMAND FlatScreen HD Wireless

High $10 $5 $7

Mooderate $8 $6 $7

Low $9 $8 $7

a) The probability of the demand being High is .4, Moderate is .2 and Low is .4. Using EMV, which type of TV should the company make?

b) Construct an Opportunity Loss table.

c) Using the same probabilities as above and using EOL, which type of TV should the company make?