Question: For the example covered in Notes pages 2 8 - 2 9 , suppose we keep everything else the same but change the initial cost

For the example covered in Notes pages 28-29, suppose we keep everything else the same but change the initial cost of building from $140 to $135, and the extra cost of doubling the capacity from $140 to $135. If in year one we are in the down state, we will NOT choose to double the capacity. In the up state of year one, however, we will choose to double the capacity.

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