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As the Chief Executive Officer (CEO) of an international company, I have two data centers housing equipment worth $200,000 and $100,000 respectively. Both data

As the Chief Executive Officer (CEO) of an international company, I have two data centers housing equipment worth $200,000 and $100,000 respectively. Both data centers, denoted, respectively, as Center A and Center B are located in the same building on separate floors. The probability of an earthquake in the building is 12% over the year. If that happens, half of each data center would be destroyed. I must now convince my Chief Financial Officer (CFO) to support my resource needs to protect these data centers from such risk. I turn to you to tell me what to say (to convince the CFO.) The CFO needs concrete evidence (conclusive data) to justify doing anything. Explain your recommendation that I should relay to the CFO on what the company must do to minimize such risks. You must quantitatively validate your reasoning as to why this is the best conclusion based upon the information given in the problem. Remember that the CFO is a "money-saving" person. If you do not have enough information above to give a conclusion, state what additional information would you need to establish a defendable conclusion. (Please note that this is not a typical classroom of students but the CEO is your student in this scenario.)

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