A company, a small manufacturer of photographic chemicals is considering expanding in Toronto, Canada.  The company is considering building one out of four types of plants (PLT1 to PLT4) based on various market demand situations. 

 Each plant when built will operate at its maximum capacity.  The total production cost and the selling price per liter of photographic chemicals are $ 10 and $ 15, respectively.  If each plant produces more than the market demand, the company must dispose of the photographic chemicals through a waste management vendor at $3 per liter. 

 The expanded facilities will produce up to their maximum daily capacity.  The company has committed to satisfying the market demand up to its full daily production capacity for each facility.  The following table provides information on the daily capacity for each plan, daily market demand, and the probability for each market demand. 

 You are the project manager for the expansion study. 

Construct a payoff table for the various market demands and Plant alternatives 

Answer rating: 100% (QA)

Sure Heres a payoff table for the various market demands and Plant alternatives Market Demand PLT1 PLT2 PLT3 PLT4 100 100 100 100 100 90 90 90 90 90 8... View the full answer