Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Safari 11:43 PM Fri 22 Apr 2% C Done Assignment (2) Open in Word a. The initial investment is SR 125000 b. There is a
Safari 11:43 PM Fri 22 Apr 2% C Done Assignment (2) Open in Word a. The initial investment is SR 125000 b. There is a 30% chance to have SR 300000 cash inflow c. There is a 40% chance to have SR 230000 cash inflow d. There is a 20% chance to have SR 100000 cash inflow e. There is a 10% chance to have SR 90000 cash inflow 3. Health program C a. The initial investment is SR 230000 b. There is a 50% chance to have SR 400000 cash inflow c. There is a 15% chance to have SR 150000 cash inflow d. There is a 10% chance to have SR 175000 cash inflow e. There is a 25% chance to have SR -100000 cash inflow 4. Health program D a. The initial investment is SR 185000 b. There is a 55% chance to have SR 250000 cash inflow c. There is a 25% chance to have SR 200000 cash inflow d. There is a 10% chance to have SR 175000 cash inflow e. There is a 10% chance to have SR 100000 cash inflow USE THE Decision Tree Model to choose the best health program. Safari 11:43 PM Fri 22 Apr .2%O Done Assignment (2) Open in Word Group Assignment Deadline: 22/5/2022 You are planning to invest your money in the health care services. Since you do not have a clear idea about the health care services needed by the community, you asked a research center to help in identifying the investment opportunities open to you. The research center conducted deep investigation and prepared a report that contains the following information. First: There are (4) different investment opportunities. Second: The initial investment for each of the available alternatives, the expected cash inflow, and the probability for each are as follows 1. Health program A a. The initial investment is SR 235000 b. There is a 40% chance to have SR 400000 cash inflow c. There is a 35% chance to have SR 220000 cash inflow d. There is a 15% chance to have SR 200000 cash inflow e. There is a 10% chance to have SR -100000 cash inflow
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started