A concessionaire for the local ballpark has developed a table of conditional values for the various alternatives (stocking decisions) and states of nature (size of crowd).

If the probabilities associated with the states of nature are 0.30 for a large crowd, 0.50 for an average crowd, and 0.20 for a small crowd, determine:
a. The alternative that provides the greatest expected monetary value (EMV).
b. The expected value of perfect information(EVPI).

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States of Nature (Demand) Stocking Large Crowd (S) AveragSmall Crowd Decision Large stock Average stock Small stock Probabilities Crowd (S) 2.000 $6.000 $6,000 0.2 S22,000 12,000 150 12,000 S6,000 0.5 $9,000 0.3