Monica Britt has enjoyed sailing small boats since she was T' years old, when her moth sailing with her. Today, Monica is considering the possibility of starting a company to small sailboats for the recreational market. Unlike other massproduced sailboats, how boats will he made specifically for children between the ages of 10 and 15. The boats the highest quality, and extremely stable, and the sail size will be reduced to prevent p capsiring. Because of the expense involved in developing the initial molds and acquiring the nec equipment to produce berglass sailboats for young children, Monica has decided to c pilot study to make sure that the market for the sailban vn'll be adequate. She estimat pilot study will cost her $10,000. Furthermore, the pot study can be either successful successful. Her basic decisions are to build a large manufacturing facility, a small man facility, or no facility at all. Wit a favorable market, Monica can expect to make $00, the large facility or $00,000 from the smaller facility. If the market is unfavorable how Monica estimates that she would lose $30,000 with a large facility, while she would lo $20,000 with the small facility. Monica estimates that the probability of a favorable m a successful pilot study is 0.0. The probability of an unfavorable market given an unsu pilot study result is estimated to be 0.0. Monica feels that there is a 5050 chance that study will be successful. Df course, Monica could bypass the pilot study and simply in decision as to whether to build a large plant, small plant, or no facility at all. Ettfithout d tesb'ng in a pilot study, she estimates that the probability of a successful market is 0.0. you recommend