Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Problem 15-11 Dante Development Corporation is considering bidding on a contract for a new office building complex. The figure below shows the decision tree prepared by one of Dante's analysts. At node 1, the company must decide whether to bid on the contract. The cost of preparing the bid is $200,000. The upper branch from node 2 shows that the company has a 0.8 probability of winning the contract if it submits a bid. If the company wins the bid, it will have to pay $2,000,000 to become a partner in the project. Node 3 shows that the company will then consider doing a market research study to forecast demand for the office units prior to beginning construction. The cost of this study is $150,000. Node 4 is a chance node showing the possible outcomes of the market research study. Nodes 5, 6, and 7 are similar in that they are the decision nodes for Dante to either build the office complex or sell the rights in the project to another developer. The decision to build the complex will result in an income of $5,000,000 if demand is high and $3,000,000 if demand is moderate. If Dante chooses to sell its rights in the project to another developer, income from the sale is estimated to be $3,500,000. The probabilities shown at nodes 4, 8, and 9 are based on the projected outcomes of the market research study. (a) Verify Dante's profit projections shown at the ending branches of the decision tree by calculating the payoffs of $2,650,000 and $650,000 for first two outcomes. Are the profit projections correct? (b) What is the optimal decision strategy for Dante, and what is the expected profit for this project? Decision Strategy Expected Profit = $ 1870 (c) What would the cost of the market research study have to be before Dante would change its decision about the market research study? Market research cost would have to be lowered to $ or less to make undertaking the research desirable.
Discuss how supervisors can eliminate or reduce the number of disciplinary interviews in the workplace.
Submit your response in a short Power Point slide presentation in APA format consisting of a minimum of 8 slides which comprises a Title page also then a References page at the end.
Create your own development plan as it applies to the current organization with which you are involved. In your plan, address your plan objectives
What is the real interest rate if the nominal interest rate is 12% as well as inflation is expected to produce a 10% increase for the cost of assets over the same period?
What methods researchers have used to investigate leadership traits? What traits are cited most often in research results and how does the trait approach
Compare and contrast the exercise testing for children, adults, and older adult. Discuss why specific precautions should be taken for each population. Discuss why conducting fitness assessments are important.
controllable variables in your environmentbullanalyze the environment processes and procedures at your work or school
Even though most HRD professionals agree that HRD evaluation is valuable, why isn't it practiced more frequently by organizations?
How do ethical business practices influence the evaluation, selection, and application of an analytical, quantitative business model? How does the selection of an appropriate business model reflect ethical practice?
Determine what forecasts are appropriate for the last quarter of this year and the 1st quarter of next year?
Chris is owed £8,500 by John, who is declared bankrupt. Chris finds that he is an unsecured creditor and eventually receives only £1,870 in payment.
Identify two key strategic decisions made by your current team, department, or organization. How could those decisions have been enhanced by optimization models? Support your rationale with evidence from readings or external research.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd