I want to know question C. a and b are solved,

Question 4: A promising biotech upstart in Boston has developed an anti-viral treatment that has commercial potential. The company is considering whether to produce the new compound itself or sell the rights to the compound to a large pharmaceutical company- The payoffs from each of these options depend on whether the treatment is approved by the US Food and Dmg Administration (FDA). the government agency in US that regulates and approves all new drug treatments. (FDA bases its decision on the outcome of tests of the drug's effectiveness on human subjects.) The biotech upstart must make its decision before FDA decides. Here are the payoffs the company can expect to get under the two options it faces: . - Decision Outcome Probablllty Sell the Rights Produce Yourself FDA Approves 0.30 $15 $60 FDA Does Not Approve 0.70 $ 5 $15 (payoffs are in millions of dollars} (a) Draw a decision tree showing the decisions that the company can make and the payoffs from following those decisions. Carefully distinguish between chance nodes and decision nodes in the tree. For example, in the lesson example on oil drill, a square denotes a decision and a circle denotes chance, as shown: (a) Draw a decision tree showing the decisions that the company can make and the payoffs from following those decisions. Carefully distinguish between chance nodes and decision nodes in the tree. For example, in the lesson example on oil drill, a square denotes a decision and a circle denotes chance, as shown: P - 0.5 SJOM Small $20m (b) Assuming that the biotech upstart's management is a risk-neutral decision-maker, what action should it choose? What is the expected payoff associated with this action? (c) Now suppose that the biotech upstart can conduct its own test-at no cost-that will reveal whether the new drug will be approved by FDA. Draw a new decision tree corresponding to this new sequence of decisions and events. What is the value of perfect information (i.e. knowing in advance whether FDA approves or rejects) to the biotech upstart in undertaking the test