Question 17 Please!

Information needed for Question 17.

16. In Exercise 15, suppose that sample information is available in the form of a random sample of (a) find the posterior distribution if the one person sampled will purchase the item, and find consumers. For a sample of size one, the value of this sample information; (b) find the posterior distribution if the one person sampled will not purchase the item, and find the value of this sample information; (c) find the expected value of sample information. 17. In Exercise 16, suppose that you also want to consider other sample sizes. (a) Find EVSI for a sample of size 2. (b) Find EVSI for a sample of size 5 . (c) Find EVSI for a sample of size 10. (d) If the cost of sampling is $0.50 per unit sampled, find the expected net gain of sampling (ENGS) for samples of sizes 1,2,5, and 10. 18. Consider a bookbag filled with 100 poker chips. You know that either 70 of the chips are red and the remainder blue, or 70 are blue and the remainder red. You must guess whether the bookbag has 70R30B or 70B30R. If you guess correctly, you win $5. If you guess incorrectly, you lose $3. Your prior probability that the bookbag contains 70R30B is 0.40, and you are risk neutral. If P(0.10)=0.2,P(0.20)=0.3,P(0.30)=0.3,P(0.40)=0.1, and P(0.50)=0.1, what decision maximizes expected payoff? If perfect information is available, find VPI for each of the five possible states of the world and compute EVPI