Figure 18.3 gives a decision tree presented in the book Production/Operations Management by William J. Stevenson. Use this tree diagram to do the following:
a. Find the expected monetary value for each of the alternatives (subcontract, expand, and build).
b. Determine the alternative that should be selected in order to maximize the expected monetary value.

Declslon Tree for Exercise 18.13 FIGURE 18.3 $1.0 -$1.3 Do nothing Medium demand (5) Large demand (.1) Small demand (4) Expand -$1.3 Do nothing Expand -$1.5 $1.6 Build $1.8 -$0.7 Do nothing Other use #1 $1.5 Small demand (4) Medium demand (.5) Other use 2 $1.0 Expand -$1.6 Large demand (.1) $1.6 Do nothing Subcontract $1.5 Build $1.7 -$0.9 Do nothing Other use #1 Small demand (.4) Medium demand (5) $1.4 Other use 2 -$1.0 $1.0 Do nothing Large demand (1) Other use #1 $1.1 Other use 2 -$0.9 $2.4 peaudogng Buld