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further information about the likelihood of oil being present. A third option is to perform geological tests 0 . 1 0 probability that oil exists.
further information about the likelihood of oil being present. A third option is to perform geological tests probability that oil exists. Using a decision tree, recommend a course of action for Shamrock oil.
Choose the correct decision tree that corresponds to the options of Shamrock Oil. Note that all payoffs are in thousands of dollars
What is the best course of action for Shamrock Oil?
A Sell the land without any investigations.
B Test the land. If the test is positive, sell
D Test the land. If the test is positive, drill the land. If the test is negative, sell the land.
The expected payoff is $enter your response as a whole number
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