19. (***) Draw a decision tree for Sawyer Construction. What are the nine possible outcomes Rich is...

Question:

19. (***) Draw a decision tree for Sawyer Construction.

What are the nine possible outcomes Rich is facing?

(Hint: One is “Rich subcontracts for low capacity and demand turns out to be low.”) What is the profit

(Revenue – fixed costs) associated with each of the nine outcomes? Be sure to consider the capacity limits of each alternative when calculating revenues.

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Related Book For  book-img-for-question

Introduction To Operations And Supply Chain Management

ISBN: 9780131791039

2nd Edition

Authors: Cecil C. Bozarth, Robert B. Handfield

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