Question: Chapter 5 Quiz 0 Compute the expected payoffs for each alternative shown in the following decision tree. (Values in the tree are in millions. Use

Chapter 5 Quiz 0 Compute the expected payoffs for each alternative shown in the following decision tree. (Values in the tree are in millions. Use the same format, rounding to 2 decimals, to enter your answers.) 51.09 1 $1.3 Do nothing Smal demandi Expand $13 2. paints Modum demand 5 $1.5 Large demand ) Do nothing Expand $1.0 Bund och $1,8 Subcontract $0.7 Do nothing Others 1 $1.5 Other une $1.0 Small demand 14 Expand Mediurn demand 51.6 Large demand (1) 31,6 Do ning Subcontract $1.5 $17 Pune $0.00 Domoting Others 1 51.4 Others Smal demand 51.0 Mediam demand $1.0 Large demand Do nothing Or 51.1 Others SO $2.4 * Net procent value in millions Medium demand (.5) 92 1.0 $1.0 1 Large demand (.1) Do nothing Other use 1 $1.1 Other use #2 $0.9 2 points Net present value in millions $2.4 eBook EV subcontract Evexpand EVbuild References Thus has the highest expected payoff

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