4. Determine the probability that the following tree reflecting demand for a product, given an expense of acquiring the

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4 Determine The Probability That The Following Tree Reflecting Demand For A Product Given An Expense Of Acquiring The 1 (55.9 KiB) Viewed 31 times

4. Determine the probability that the following tree reflecting demand for a product, given an expense of acquiring the necessary equipment of $100k, has a rate of return higher than 30% per year. s. Sales: $27k/yr 4 y Decide 2 Sales: $26k per year with a $35k overhaul in x 4 Low demand p=0.35 $100k acquisition cost High demand p=0.65 Sales $45k/yr 10x15 Decide 12 Sales $35k per year with a $35k overhaul in yr 6