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Question 11 2 pts Lumina Retail has just bought a chain of appliance stores. Lumina received an offer from Comfort Cubbies to purchase the Wyndham
Question 11 2 pts Lumina Retail has just bought a chain of appliance stores. Lumina received an offer from Comfort Cubbies to purchase the Wyndham branch store for $120,000. Lumina has determined probability estimates of the store's future profitability, based on historical projections as: P($80,000) = 2, P($100,000) = .3, P($120,000) = .1, and P($140,000) = .4. Your best friend's family owns Lumina and they asked you for advice. What do you recommend? Choose the BEST option. O Yes, sell the branch. Your highest payoff is $140,000. O You need more information to help them decide. O Yes, sell the branch. Your highest payoff is $120,000. O Yes, sell the branch. Your highest payoff is $125,000. O No, do not sell the branch. Your highest payoff is $140,000
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