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Given the Payoff Table Below, Determine the Expected Value and Size

Question 121

Multiple Choice

Given the payoff table below, determine the expected value and size of warehouse that would be
Built, given a probability of 0.7 and 0.3 to the high and low demands, respectively. Given the payoff table below, determine the expected value and size of warehouse that would be Built, given a probability of 0.7 and 0.3 to the high and low demands, respectively. A) $8 million, small warehouse B) $5 million, medium warehouse C) $18.7 million, large warehouse D) $12 million, medium warehouse E) $22 million, large warehouse


A) $8 million, small warehouse
B) $5 million, medium warehouse
C) $18.7 million, large warehouse
D) $12 million, medium warehouse
E) $22 million, large warehouse

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