Problem 690704: Do not include anything other than numbers in your responses. For example, do not include comma or dollar sign in your numbers. As a rule of thumb, keep 2 decimal places for larger numbers and 3 decimal places for smaller numbers less than 1. 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 $90k 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	0.2	0.35
Competitors' lowest bid is	between $110k and $130k	between $130k and $145k	more than $145k
bid 110k (low)	20k	20k	20k
bid 130k (medium)	0	40k	40k
bid 145k (high)	0	0	55k

Note: You may drop 3 zeros of thousand numbers. What is the best decision based on optimistic approach? (Bid Low/Bid Medium/Bid High) What is the best decision based on pessimistic approach? (Bid Low/Bid Medium/Bid High) How much (in thousands) is the average payoff if the company bids low? How much (in thousands) is the average payoff if the company bids medium? 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)