How much (in thousands) is the average payoff if the company bids high? What is the best decision based on equal likelihood approach? (Bid Low/Bid Medium/Bid High)

SciTools Incorporated, a company that specializes in scientific instruments, has been invited to make a bid on a government contract. The contract calls for a specific number of these instruments to be delivered during the coming year. The bids must be sealed, so that no company knows what the others are bidding, and the low bid wins the contract. SciTools estimates that it will cost $105k to supply the instruments if it wins the contract. The company is deciding to bid against the competitors. On the basis of past contracts of this type, SciTools believes that the competitors' bids are based on the following probabilities and they have created the payoff table as follows. Probability 0.45 0.25 0.3 Competitors' lowest bid is between $125k and $145k between $145k and $160k more than $160k bid 125k (low) 20k 20K 20k bid 145k (medium) 0 40k 40K bid 160k (high) 55k 0 0