The Super Cola Company must decide whether or not to introduce a new diet soft drink. Management feels that if it does introduce the diet soda it will yield a profit of $1.2 Million if sales are around 60 million, a profit of $300,000 if sales are around 30 million, or it will lose $2.1Million if sales are only around $1 million bottles. If Super Cola does not market the new diet soda, it will suffer a loss of $500,000.

a.Construct a payoff table for this problem.

b.Construct a regret table for this problem

.c.Should Super Cola introduce the soda if the company:(1) is conservativeand why;(2) is optimisticand why;

(3) wants to minimize its maximum disappointmentand why?

d.An internal marketing research study has found P(60 million in sales) = 1/3; P(30 million in sales) = 1/2; P(1 million in sales) = 1/6. Should Super Cola introduce the new diet soda?