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Question 5 (10 points) 3-36. A group of medical professionals is considering the construction of a private clinic. If the medical demand is high (le,
Question 5 (10 points) 3-36. A group of medical professionals is considering the construction of a private clinic. If the medical demand is high (le, there is a favorable market for the clinic), the physicians could realize a net profit of $100,000. If the market is not favorable, they could lose $40,000. Of course, they don't have to proceed at all, in which case there is no cost. In the absence of any market data, the physicians' best guess is that there is a 50-50 chance the clinic will be successful Construct a decision tree to help analyze this problem. What should the medical professionals do? The best choice after considering the decision tree is to not open the private clinic? True False
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