about, however, that he has a difficule time keeping them all straight. After hearing about your decision-analysis course, he asks you whether you have learned anything that might help him in his decision. What kinds of issues are important in deciding whether to buy a retail business? Describe how he might use sensitivity analysis to explore the Problem 83 5.9. An important application of sensitivity analysis occurs in problems involving multiple atributes. Many decision makers experience difficulry in assessing trade-off weights. A sensitivity analysis of the trade-off weight, though, can reveal whether a decision maker must make a more precise judgment. Reconsider the summer-job example described and ana lyzed in Chapter 4. In the analysis, we used trade-off weights of k-0.60 for salary and k0.10 for fun (see Figure 4.28 Suppose Sam Chu is uncomfortable with the precise assessment that 0.60. Sam does believe, though, that k, could range from 0.50 up to 0.75.Recall that k, and k add up to 1, so by implication,& can range from 50 to 0.25, depending on the value of k) Perform a sensitivity analysis on the espected overall scove for the two jobs by varying &, ver this range Is the forest job preferred for all values of , between 0.50 and 0.75 (a) Develop Senstivity Graph for K. and K What did you understand fron the graph about, however, that he has a difficule time keeping them all straight. After hearing about your decision-analysis course, he asks you whether you have learned anything that might help him in his decision. What kinds of issues are important in deciding whether to buy a retail business? Describe how he might use sensitivity analysis to explore the Problem 83 5.9. An important application of sensitivity analysis occurs in problems involving multiple atributes. Many decision makers experience difficulry in assessing trade-off weights. A sensitivity analysis of the trade-off weight, though, can reveal whether a decision maker must make a more precise judgment. Reconsider the summer-job example described and ana lyzed in Chapter 4. In the analysis, we used trade-off weights of k-0.60 for salary and k0.10 for fun (see Figure 4.28 Suppose Sam Chu is uncomfortable with the precise assessment that 0.60. Sam does believe, though, that k, could range from 0.50 up to 0.75.Recall that k, and k add up to 1, so by implication,& can range from 50 to 0.25, depending on the value of k) Perform a sensitivity analysis on the espected overall scove for the two jobs by varying &, ver this range Is the forest job preferred for all values of , between 0.50 and 0.75 (a) Develop Senstivity Graph for K. and K What did you understand fron the graph