a) Small, average, or large stock?

EMV: $_______?

b) EVPI: $______?

Andrew Thomas, a sandwich vendor at Hard Rock Cafe's annual Rockfest, created a table of conditional values for the various alternatives (stocking decision) and states of nature (size of crowd): Alternatives Large Stock Average Stock Small Stock States of Nature (demand) Big Average Small $22,000 $10,000 - $2,000 $12,000 $11,000 $6,000 $8,400 $8,000 $3,200 The probabilities associated with the states of nature are 0.30 for a big demand, 0.55 for an average demand, and 0.15 for a small demand. a) The alternative that provides Andrew Thomas the greatest expected monetary value (EMV) is The EMV of this decision is $(enter your answer as a whole number). b) The expected value of perfect information (EVPI) for Andrew Thomas = $ (enter your answer as a whole number)