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De Leon Engineering designs and constructs air condisoning and heating (HVAC) systems for hospitals and clinics. Currently the compary's staff is overloaded with design work.

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De Leon Engineering designs and constructs air condisoning and heating (HVAC) systems for hospitals and clinics. Currently the compary's staff is overloaded with design work. There is a major design project due in 8 weeks. The penalty for completing the design late is $13,000 per week since any delay wil cause the faclity to open later than anticipated, and cost the client significant revenue. If the company uses its inside engineers to complete the design, it will have to pay them overtime for all work. Owner Roberta De Leon has estimated that it will cost $13,000 per week (wages and overthead), including late weeks, to have company engineers compleve the design. Rioberta is also considering having an outside engineering firm do the design. A bid of $85,000 has been recelved for the completed design. Yet another cption for completing the design is to conduct a joint design by having a third engincering company complete all electromechanical components of the design at a cost of $60,000. De Leon Engineering would then complete the rest of the design and control systems at an estimated cost of $30,000. Roberta has estimated the following probabilies of completing the project within various time frames when using each of the three options. Those estimates are shown in the following table: The expected monetary value using inside engineers to complete the design is 3 (Enter your rosponse as an integer) The expected monetary value using an oulside engineering firm to complete the design is \{ (Enter your response as an integer) The expected monetary value of conducting a joint design is : (Enter your response as an integer) What is the best decision based on an expected monetary value critenidi? Extemal engineenng firm Internal engineers Joint design

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