Question: The operations manager at MicroControl Limited believes that pessimistic demand has a probability of 2 0 percent , expected demand has a probability of 5

The operations manager at MicroControl Limited believes that pessimistic demand has a probability of 20percent, expected demand has a probability of 50percent, and optimistic demand has a probability of 30percent. Currently, new machines must be purchased at a cost of 500,000a piece, the price charged for each control unit is $110 and the variable cost of production is $50per unit. [Hint] : since the price and variable cost for each control unit are the same, the profit maximizing product mix will be the same as the mix that maximizes the total number of units produced. a.Draw a decision tree for this problem. b.How many machines should the company purchase, and what is the expected payoff

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