You are considering starting a company to provide a new Internet access service. There is a 60 percent chance the demand will be high in the first year. If it is high, there is an 80 percent chance that it will continue high indefinitely. If demand is low in the first year, there is a 60 percent chance that it will continue low indefinitely. If demand is high, forecasted revenue is $900,000 a year; if demand is low, forecasted revenue is $700,000 a year. You can cease to offer the service at any point, in which case, revenues are zero. Costs other than computing and telecommunications are forecasted at $500,000 a year regardless of demand. These costs also can be terminated at any point. You have a choice on computing and telecommunications. One possibility is to buy your own computers and software and to set up your own network and systems. This involves an initial outlay of $2,000,000 and no subsequent expenditure. The resulting system would have an economic life of 10 years and no salvage value. The alternative is to rent computer and telecommunications services as you need them from AT&T or one of the other major telecommunications companies. They propose to charge you 40 percent of your revenues. Assume that a decision to buy your own system cannot be reversed (i.e., if you buy a computer, you cannot resell it; if you do not buy it today, you cannot do so later). There are no taxes, and the opportunity cost of capital is 10 percent. Draw a decision tree showing your choices. Is it better to construct your own system or to rent it? State clearly any additional assumptions that you need to make.