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Please help me! I will like correct answers! (b) What is the recommended decision if the agency opinion is not used? produce pilot, d1 sell
Please help me! I will like correct answers!
(b) What is the recommended decision if the agency opinion is not used? produce pilot, d1 sell to competitor, d2 What is the expected value (in thousands of dollars)? grefts in thouands of deltars) are at follows. \begin{tabular}{|c|c|c|c|} \hline \multirow{2}{*}{ Dedision Aiternative } & \multicolumn{3}{|c|}{ State of Nasure } \\ \hline & Feject 4s3 & 1 Year; x2 & 2 rears, sy \\ \hline Produce pilet, t1 & -100 & 50 & 150 \\ \hline Selil to competiter, of & 100 & 100 & tos \\ \hline \end{tabular} Fistithsois Decien Dier Desoretion: stupa at decision node 4 asd an upper asd lewer tranch entend frem thes node to the right. charcer node 10 and the lower brawh, labeled d2, sept at chance node 11. (b) What is the recommended decision if the agency opinion is not used? produce pilot, d1 sell to competitor, d2 What is the expected value (in thousands of dollars)? thousand dollars (c) What is the expected value of perfect information (in thousands of dollars)? thousand dollars (d) What is Hale's optimal decision strategy assuming the agency's information is used? If favorable, If unfavorable, (e) What is the expected value (in thousands of dollars) of the agency's information? (Round your answer to two decimal places.) thousand dollars (f) Is the agency's information worth the $5,000 fee? Yes No What is the maximum that Hale should be willing to pay (in thousands of dollars) for the information? (Round your answer to two decimal place. thousand dollars (g) What is the recommended decision? Agency; if favorable, produce the pilot Agency; if unfavorable, sell to competitor No agency; produce the pilot No agency; sell to competitor Step by Step Solution
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