2. A firm must decide whether to construct a small, medium, or large plant. A consultant's report indicated a 0.2 probability that demand will be low and 0.8 probability that demand will be high. If the firm builds a small facility and demand turns out to be low, the net present value will be $38 million. If demand turns out to be high, the firm can either subcontract and realize $44 million or expand for a net present value of $52 million. The firm could also build a medium- sized facility. If demand turns out to be low, its net present value will be $24 million, if demand turns out to be high, the firm could do nothing and realize a net present value of $45 million, or it could expand and realize a net present value of $49 million. If the firm decides to build a large facility and demand is low, there will be a net present value of $18 million, whereas a high demand will result in a net present value of $68 million. a. Develop a decision tree for the above scenario b. Make a recommendation as to which course of action is best, and state why