a. What is the amount of the Expected Value of Perfect Information (EVPI):

b. What is the expected Value with sample information?

c. What is the expected value of sample information?

d. What is the efficiency of the survey information

Lawson '5 Department Store faces a buying decision for a seasonal product for which demand can be high, medium, or low. The purchaser for Lawson's can order 1, 2, or 3 lots of the groduct before the season begins but cannot reorder later. Profit projections {in thousands of dollars) are shown. State of Nature High Demand Medium Demand Low Demand Decision Alternative sl 5; 5; Order 1 lot, d; 60 60 50 Order 2 lots. d; 80 SD 30 Order 3 lots. 11"; 100 TI] 10 At each preseason sales meeting, the vice president of sales provides EPEIEEEELEEEDEQH regarding potential demand for this product. Because of the vice president's enthusiasm and optimistic nature, the predictions of market conditions have always been either \"excellent" {E} or \"vervr good" (it). Probabilities are as follows: ME) = 0.?0 P(s, | a} = 0.34 P(.s, l V) = 0.20 PW) = 0.30 so, I s) = 0.32 an, I V) = 0.20 Pfs3| E} = 0.34 P(53 | r) = 0.54