cision The owner of the Sydney Construction Company must

Last updated: 1/25/2024

cision The owner of the Sydney Construction Company must decide among building a condo constructing a shopping centre or leasing all the company s equipment to another company The profit that will result from each alternative will be determined by whether material costs remain stable increase moderately or increase significantly In the payoff table below the estimated profits losses are given in thousands Condo Shopping Centre Leasing Stable 1810 600 2150 Material Costs Moderate Increase 1040 600 750 Significant Increase 180 O Decision Shopping Centre based on 1733 max 1010 633 1733 O Decision Condo based on 1335 max 1335 950 300 O Decision Condo based on 890 max 890 633 200 O Decision Stable based on 1520 max 1520 797 593 O Decision Condo based on 2670 max 2670 1900 600 700 2300 ermine the best decision using the Equal likelihood Laplace decision criterion and to the nearest integer