Question: Question 1 10 pts We have finalized the following parameters regarding the introduction of a new product: Fixed cost (F): $22,000 Variable cost (v): $80

Question 1 10 pts We have finalized the following

Question 1 10 pts We have finalized the following parameters regarding the introduction of a new product: Fixed cost (F): $22,000 Variable cost (v): $80 Price (p): $500 (Round your answer to the nearest whole number.) Question 2 10 pts Question 3 10 pts In a profit-making scenario, we must choose either Option A, Option B or Option C. Possible "states of nature" are I (p = 0.3), II (p = 0.4) or III (0.3). The payoffs of the options under these states of nature are as follows: State of Nature III State of Naturel 80 State of Nature II 30 A -40 B 00 -50 60 90 30 10 What is the expected value of perfect information in this scenario? (Round your answer to the nearest whole number.) Question 2 10 pts In a profit-making scenario, we must choose either Option A, Option B or Option C. Possible "states of nature" are I (p = 0.3), II (p = 0.3) or III (0.4). The payoffs of the options under these states of nature are as follows: State of Nature II State of Nature 90 State of Nature 111 -90 A 70 B -60 -30 -70 -50 80 30 What is the expected value of the most attractive option? (Round your answer to the nearest whole number.)

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