• Problem 1: Case 6.2 - Westhouser Paper Company, pp. 274-275. Tasks:Read the case.
• Download the Excel file C06_02.xlsx. (You are encouraged to use this file as your starting setup.)
• Develop a complete decision tree.
• Make a recommendation: What should the company do, using EMV as the decision-making criterion?
• Perform sensitivity analysis: Perform a sensitivity analysis on the optimal decision by letting the probability that a competitor will buy the land during the month of May vary from 5% to 35% in 5% increments; that is, allow for this probability to assume the values of5% (base value), 10%, 15%, 20%, 25% , 30% , and 35%. The complete Excel file must contain the original decision tree created by Precision Tree. OnePDF or WORD file: Must contain: i) a concise and clear statement articulating your recommended decision for this company to make, and ii) a concise and clear statement summarizing the result of your sensitivity analysis.