Question 7 (2 points) Suppose that there is a decision to be made where there are two decision alternatives and three possible states of nature. Suppose that state of nature 1 is project to occur 38% of the time while state 2 occurs 20% of the time. Use the payoff table below to compute the expected value of take decision alternative 2. Round your final answer to two decimal places. State Decision of Payoff Nature d1 51 12 d1 S2 24 d1 53 19 d2 51 17 dz S2 18 dz $3 12 Your Answer: Answer Question 8 (2 points) Suppose that we have the option of surveying our market before we make the final decision; if we do so, we will either get a favorable report or an unfavorable report. Further suppose that if we get a favorable report, our expected return (assuming we make the best decision we can in light of that new information) is 22, but if we get an unfavorable report, our expected return is 8. If we decide to not pursue the market survey, our expected return is 12. Finally, suppose that the probability of good news is 75%. Calculate the value of the market survey, and round your final answer to two decimal places. Your