The Wildcat Auto Corp. is considering if it should introduce a new vehicle to its 2019 market. There are two possible new vehicles, a luxury sedan and a pickup truck, as considered candidates. The company will only consider at most one new vehicle be introduced in 2019. The payoff outcomes depending upon the 2019 automobile market are shown in the following table.The 2019market is reported to have even chances between being favorable and unfavorable.

Favorable 2019 Market Unfavorable 2019 Market

Alternative

Introduce a luxury sedan $200,000 -$180,000

Introduce a pickup truck $100,000 -$20,000

Introduce no new vehicles $0 $0

(Question 2-1) Create a regret table for the Wildcat Auto Corp. and report your recommended decision based upon the minimax regret approach.

(Question 2-2) Compared the expected values and report your recommended decision based upon the expected value outcomes.

(Question 2-3) If a marketing firm can offer perfect information to help WildcatAuto Corp. make decisions. What is the expected value with perfect information?

(Question 2-4) If this marketing firm will charge Wildcat Auto Corp. $70,000 for the perfect information service, should Wildcat Auto Corp. hire this marketing firm for its service?Explain why or why not.