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You are currently building another San Leo home, and it is essentially in the same condition as the previous home was on July 1 .
You are currently building another San Leo home, and it is essentially in the same condition as the previous home was on July You have two choices: accept the risk that the storm will not hit, or accelerate the construction to get the roof and shingles on before the storm is scheduled to make landfall. If the storm hits while the roof is under construction but not finished, you will have to reconstruct half of what was completed for a cost of $ The weather channel predicts a percent chance of the storm making landfall close enough to your location to cause this damage. If you accelerate construction, it will cost you $
Develop a decision tree with two alternatives: accept the risk and continue construction, or accelerate construction to avoid the risk. You have two states of nature, the storm causes damage probability, and the storm does not cause damage.
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