Develop a Decision Policy Suppose you consider a new strategy of developing a "cut-off" value. The idea is that if Harrington's "estimated Sager" is less than this "cut-off", you abandon the new valve and just pay the $80,000 in engineering costs but save the $160,000 in software costs, and you then manufacture the old valve. Modify your simulation model above to incorporate this idea and run a simulation with 3,000 iterations on the cut-off value with values: 550, 575, 600, 625, and 650.

if the cutoff value for the Sager score is 530 and the Estimated Performance of the new valve is 520, which of the following are true?

Group of answer choices

a)the total price per valve will be $10,000

b)the total manufacturing cost will be $525,000

c) the total development cost will be $80,000 + $160,000 = $240,000

d)the total development cost will be $80,000

X V fx A B C D E F G H Orion Simulation Inputs Number of Smart Valves 50 Valves Software cost 160000 Engineering cost 80000 Total Development cost =+85+B6 Old Valve Sager 522 Range: 200 to 800 Min Likely Max New Valve Estimated Sager New Valve Actual Sager Mean = Estimated Sager Std Dev = 20 For every point above 522 and up to 600 25 per point over the 10K price For every point above 600 1950 plus 200 per point above 600 Max valve price S 25000 Old valve unit cost 8000 New valve unit cost 10500 23 Model: Estimated Performance Actual Performance =@Normal_(B24,20) Increase in Price per Valve =IF(B25