can you please help me solve these questions

ECON332 Managerial Economics and Operations Research Tutorial Questions Week 4 (Chapter 3) Question 1) Kenneth Brown is the principal owner of Brown Oil After quitting his university teaching job, Mr. Ken neth has been able to increase his annual salary by a factor of over 100. At the present time, Mr. Kenneth is forced to consider purchasing some more equipment for Brown Oil because of competition. His alter matives are shown in the following table: Equipment Favourable Market (S) afavourable Market (5) 300.000 200.000 250.000 - 100.000 75.000 -1000 For example, if Mr. Kenneth purchases equipment A and if there is a favourable market, he will realise a profit of $300,000. On the other hand, if the market is unfavourable, Mr. Kenneth will suffer a loss of S200,000. But Mr. Kenneth has always been a very optimistic decision maker a) What type of decision is Mr. Kenneth facing? b) What decision criterion should he use? c) What alternative is best? Question 2) Although Mr. Kenneth from question 1) is the principal owner of Brown Oil, his brother Mr. Richard is credited with making the company a financial success. Mr. Richard is vice president of finance. Mr. Richard attributes his success to his pessimistic attitude about business and the oil industry. Given the information in question 1). it is likely that Mr. Richard will arrive at a different decision. What decision creation should Mr. Richard use, and what alternative will he select? Question 3) The Tanker is an informative oil newsletter to which many oil giants subscribe, including Mr Kenneth, see question 1). In the last issue, the letter described how the demand for oil products would be tremely high. Apparently, the American consumer will continue to use oil products even if the price of these products doubles. Indeed, one of the articles in the Tanker states that the chances of a favorable market for oil products was 70%, while the chance of an unfavourable market was only 30% Mr. Kan neth would like to use these probabilities in determining the best decision a) What decision model should be used b) What is the optimal decision c) Mr. Kenneth believes that the $300,000 figure for equipment A with a favourable market is too high How much lower would this figure have to be for Mr. Kenneth to change his decision made in part