MacDonald Products, Inc., of Clarkson, New York, has the option of

$($a$)$ proceeding immediately with production of a new top$-$of$-$the$-$line stereo TV that has just

completed prototype testing or

$($b$)$ having the value analysis team complete a study.

If Tyrone Martin, VP for operations, proceeds with the existing prototype $($option a$),$ the firm can

expect sales to be $120,000$ units at $$540$ each, with a probability of $0\mathrm{.}45$ and a $0\mathrm{.}55$ probability of

$80,000$ at $$540.$ If$,$ however, he uses the value analysis team $($option b$),$ the firm expects sales of

$80,000$ units at $$760,$ with a probability of $0\mathrm{.}68$ and a $0\mathrm{.}32$ probability of $70,000$ units at $$760.$

Value engineering, at a cost of $$115,000,$ is only used in option b$.$ Which option has the highest

expected monetary value $($EMV$)?$

The EMV for option a is $ and the EMV for option $b$ is $$.$ Therefore, option $|$ has the

highest expected monetary value. $($Enter your responses as integers.$)$