Given the following sequential decision tree, determine which one is the optimal investment, A or B (Please show all the steps in details) (3 marks each error 1 mark) $50,000 0 30 ( $10,000) 7 0 70 4 $60,000 0 60 $45,000 2 0 40 $30,000 $70,000 0 20 Investment A ( $5,000) ( $9,000) 8 0 80 5 $45,000 1 $75,000 $65,000 0 50 0 15 ( $5,000) Investment B ( $7,500) 0 50 0 25 6 $55,000 3 $60,000 0 60 $60,000

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Question: Given the following sequential decision tree, determine which one is the optimal investment, A or B: (Please show all the steps in details) (3 marks

Given the following sequential decision tree, determine which one is the optimal investment, A or B:

(Please show all the steps in details) (3 marks each error -1 mark)

Given the following sequential decision tree,

$50,000 0.30 (-$10,000) 7 0.70 4 $60,000 0.60 $45,000 2 0.40 $30,000 $70,000 0.20 Investment A (-$5,000) (-$9,000) 8 0.80 5 $45,000 1 $75,000 $65,000 0.50 0.15 (-$5,000) Investment B (-$7,500) 0.50 0.25 6 $55,000 3 $60,000 0.60 $60,000

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