Jasmine$$ Dantas' Bed and$$ Breakfast, in a small historic Mississippi$$ town, must decide how to subdivide$($remodel$)$ the large old home that will become its inn. There are three$$ alternatives: Option A would modernize all baths and combine$$ rooms, leaving the inn with four$$ suites, each suitable for two to four adults. Option B would modernize only the second$$ floor; the results would be six$$ suites, four for two to four$$ adults, two for two adults only. Option C$($the status quo$$ option$)$ leaves all walls intact. In this$$ case, there are eight rooms$$ available, but only two are suitable for four$$ adults, and four rooms will not have private baths. Below are the details of profit and demand patterns that will accompany each$$ option:

$$

Annual Profit under Various Demand Patterns

Alternatives

High

p

Average

p

A$($modernize all$)$

$$94,000$

$0\mathrm{.}50$

$$24,000$

$0\mathrm{.}50$

B$($modernize $2$nd$)$

$$82,000$

$0\mathrm{.}35$

$$75,000$

$0\mathrm{.}65$

C$($status quo$)$

$$62,000$

$0\mathrm{.}35$

$$50,000$

$0\mathrm{.}65$

This exercise contains only part b$.$

Part $2$

$$b$)$ The option with the highest expected value for Jasmine$$ Dantas' Bed and Breakfast is

$$

A

B

C

$,$ with an expected value of $$$enter your response here $($round your response to the nearest whole$$ number$).$