Ritz$$ Products's materials$$ manager, Tej$$ Dhakar, must determine whether to make or buy a new semiconductor for the wrist TV that the firm is about to produce. Four million units are expected to be produced over the life cycle. If the product is$$ made, start$-$up and production costs of the make decision total $$$$2$million$,$ with a probability of $0\mathrm{.}3$ that the product will be satisfactory and a $0\mathrm{.}7$ probability that it will not. If the product is not$$ satisfactory, the firm will have to reevaluate the decision. If the decision is$$ reevaluated, the choice will be whether to spend another $$$$2$ million to redesign the semiconductor or to purchase. Likelihood of success the second time that the make decision is made is $0\mathrm{.}7.$ If the second make decision also$$ fails, the firm must purchase. Regardless of when the purchase takes$$ place, Dhakar's best judgment of cost is that Ritz will pay $$$$0\mathrm{.}50$ for each purchased semiconductor plus $$$$2$ million in vendor development cost.

Part $2$

$$a$)$ Assuming that Ritz must have the semiconductor$($stopping or doing without is not a viable$$ option$),$ what is the best$$ decision?

The firm should

make

buy

make

the semiconductors because this decision has an expected cost of $$$

$$

$2750000.($Enter your response as an intege