The organizing company of the famous rapper Sean Paul’s concert in Dubai has decided to print shirts to be sold in the event. The company decision is to either print 5,000, 10,000, or 20,000 shirts. The expected profit from selling the shits is directly proportional to the number of attendees. The following table represents the expected payoff in United Arab Emirates Dinar (AED) for each decision under each of the different possible state of nature.

If the probability of 10,000 attendees is 0.25, the probability of 20,000 attendees is 0.4, and the probability of 40,000 attendees is 0.35, determine:
a) The alternative that provide the maximum expected monetary value (EMV).
b) The expected value of perfect information (EVPI).

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ALTERNATIVES Print 5,000 shirts Print 10,000 shirts Print 20,000 shirts NUMBER OF ATTENDEES 10,000 20,000 100,000 100,000 75,000 200,000 25,000 150,000 40,000 100,000 200,000 400,000