You have decided to open a restaurant in Huntington. The followingtable gives the payoffs based on two
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You have decided to open a restaurant in Huntington. The followingtable gives the payoffs based on two states of nature, favorable and unfavorable demand. You believe that the probability of a favorable market is 0.8. You can open any one of three different sizes of restaurant.
| Open | Favorable | Unfavorable |
| Large Restaurant | 55,000 | -30,000 |
| Medium Restaurant | 40,000 | -5,000 |
| Small Restaurant | 20,000 | 15,000 |
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