The Figure Given Below Represents the Decision Tree of an Operations

Multiple Choice

The figure given below represents the decision tree of an operations head of a facility who considers a new production technique.ER represents his expected return (in thousand $) from the new technique.If he does not adopt the technique his expected return would be zero.The probabilities of the technique being a success or a failure are 0.7 and 0.3 respectively.Compute the expected return (in thousand $) from the adoption of the new production technique.

A) $10,000
B) $1,000
C) -$2,000
D) $7,200
E) $8,600