Question: Use the data in Solved Problem 5.1 to examine what happens to the decision if Sarah King can increase all of Design B yields from
Use the data in Solved Problem 5.1 to examine what happens to the decision if Sarah King can increase all of Design B yields from 59,000 to 64,000 by applying an expensive phosphorus to the screen at an added manufacturing cost of $250,000. Prepare the modified decision tree. What are the pay- offs, and which branch has the greatest EM.
DATA FROM 5.1)PRODUCT ALPHA Annual sale 1000 units Contribution $2500 PRODUCT BRAVO Annual sale 1500 units Contribution $3000 PRODUCT CHARLIE Annual sale 3500 units Contribution $1750
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