BBT is considering migrating their servers to a cloud service, upgrading their existing servers, or doing nothing. A payoff table (in $ millions) is provided in the accompanying spreadsheet. Using that table, answer the following questions:

2. What is the EMV of each alternative? Based on this analysis, what is the best decision?
4. Assume that the probabilities given are not reliable, then compute the criteria below and give the best decision for each.
   2. Maximin
   4. Maximax
   6. Equally likely (Laplace)
   8. Minimax regret
7. Based on your analysis in 1 and 2, what do you recommend? Defend your answer!

	Poor Market	Average Market	Good Market
Cloud	-5	21	29
Upgrade Servers	10	15	27
Do nothing	0	-9	-15
	0.29	0.53	0.18

Provide the value of the criterion and the associated decision. For example, for #1, an answer could be Best EMV = 100; Decision = Do nothing.

Answer rating: 100% (QA)

First lets calculate the Expected Monetary Value EMV for each alternative EMVCloud 5 029 21 053 29 0... View the full answer