SciTools Incorporated, a company that specializes in scientific instruments, has been invited to make a bid on a government contract. The contract calls for a specific number of these instruments to be delivered during the coming year. The bids must be sealed, so that no company knows what the others are bidding, and the low bid wins the contract. SciTools estimates that it will cost $90k to supply the instruments if it wins the contract. The company is deciding to bid against the competitors. On the basis of past contracts of this type, SciTools believes that the competitors bids are based on the following probabilities and they have created the payoff table as follows.

Probability	0.2	0.35	0.45
Competitors' lowest bid is	between $100k and $105k	between $105k and $125k	more than $125k
bid 100k (low)	10k	10k	10k
bid 105k (medium)	0	15k	15k
bid 125k (high)	0	0	35k

Note: You can drop 3 zeros for numbers in thousands.

1. How much (in thousands) is the expected payoff if the company bids low?
2. How much (in thousands) is the expected payoff if the company bids medium?
3. How much (in thousands) is the expected payoff if the company bids high?
4. What is the best decision based on expected value approach? (Bid Low/Bid Medium/Bid High)
5. How much (in thousands) is the expected payoff if the company has full information about competitors' bid?
6. Calculate the expected value of perfect information (in thousands)?
7. How much (in thousands) is the maximum regret of the company if they bid low?
8. How much (in thousands) is the maximum regret of the company if they bid medium?
9. How much (in thousands) is the maximum regret of the company if they bid high?
10. What is the best decision based on minimax regret approach? (Bid Low/Bid Medium/Bid High)