Consider a firm handling concessions for a sporting event. The firm’s manager needs to know whether to stock up with coffee or col
a and is formulating policies for specific weather predictions. A local agreement restricts the firm to selling only one type of beverage. The firm estimates a $1500 profit selling cola if the weather is cold and a $5000 profit selling cola if the weather is warm. The firm also estimates a $4000 profit selling coffee if it is cold and a $1000 profit selling coffee if the weather is warm. The weather forecast says that there is a 30% of a cold front; otherwise, the weather will be warm. Build a decision tree to assist with the decision. What should the firm handling concessions do?
1 answer:
Answer: Cola is more profitable over Coffee
Step-by-step explanation:
E(cola) = 0.3 * 1500 + 0.7 * 5000
E(cola) = 450 + 3500
E(cola) = 3950
E(coffee) = 0.3 * 4000 + 0.7 * 1000
E(coffee) = 1200 + 700
E(coffee) = 1900
From the decision tree which is attached, and the calculations above, it would be advised that the firm should focus on Cola, since it has a higher expected revenue of $3950, compared to the expected revenue of $1900 for coffee.
See the attached image for the decision tree
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Based on the information given, the bisected angle, quadrilateral, and congruent angles will be explained.
<h3>How to illustrate the information?</h3>It should be noted that a quadrilateral simply means a closed shape that has four sides and four angles. These include square, rectangle, parallelogram, etc.
A bisected angle simply illustrates a line that splits an angle onto two equal angles.
Congruent segments are the segments that have the same length.
The diagrams are attached accordingly.
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