Question: Please write second question for detail. E. The management of Second National Bank is concerned about the potential loss that would result from a power

Please write second question for detail. E. The

Please write second question for detail.

E. The management of Second National Bank is concerned about the potential loss that would result from a power failure to its computer and network operations. The monetary loss from one of these incidents could be catastrophic, including losses resulting from data recovery, interrupted service, customer relations, lost earnings, and possible legal issues. + Bank management is considering installing an emergency power generator at its corporate headquarters. The cost of the generator is $800,000. If the emergency generator is installed, then no losses from a power failure will be incurred. If the emergency generator is not installed, then there is a 10% chance that a power outage will occur during the next year. If there is an outage, there is a 5% chance that the resulting loss will be very large at $80 million; alternatively, there is a 95% chance that the loss will far less at $1 million. + Using decision tree analysis, determine in the following steps whether the emergency power generator should be installed. 1. Draw the decision tree for this problem on the back of page 21 (labeled "E"). 2. Annotate the diagram in previous part with the expected monetary value of each and every decision node. 3. State your decision to either install or not to install the emergency power generator. State the basis of your decision

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