Unit 5 Assignment (CSLO 3) 1. Problem 13-01 (Algorithmic) 2. Problem 13-05 (Algorithmic) 3. Problem 13-07 (Algorithmic) 4. Problem 13-09 (Agorithmic) 5. Problem 13-14 (Algorithmic) Calculator Problem 13-07 (Algorithmic) Hudson Corporation is considering three options for managing its data processing operation: continuing with its own staff, hiring an outside vendor to do the managing (referred to as outsourcing), or using a combination of its own staff and an outside vendor. The cost of the operation depends on future demand. The annual cost of each option (in thousands of dollars) depends on demand as follows: Staffing Options Own staff Outside vendor Combination Demand High Medium Low 450 600 600 6550 800 700 300 350 400 a. If the demand probabilities are 0.35, 0.25, and 0.4, which decision alternative will minimize the expected cost of the data processing operation? What is the expected annual cost associated with that recommendation? If rerequired, round your answer to the nearest dollar Expected annual cost -$ b. Construct a risk profile for the optimal decision in part (a) Cost (in thousands of dollars) Propability 0.25 0.4 What is the probability of the cost exceeding $500,000? If required, round your answer to two decimal places. Probability- PreviouS Next Progress: 315 items Assignment Score: 0.0% All work saved. Email Instructor Save and Exit Submit Assignment for Grading