Decisions under uncertainty A firm must decide whether to construct a small, medium, or large stamping plant. A consultant's report indicates a .20 probability that demand will be demand will be high. If the firm builds no facility and demand turns out to be low, the net present value will be $36 million. If demand turns out to be high, the firm can eithe net present value of $40 million or expand greatly for a net present value of $47 million. If the firm builds a small facility and demand turns out to be low, the net present value will be $34 million. If demand turns out to be high, the firm can the net present value of $42 million or expand greatly for a net present value of $48 million. The firm could build a medium-size facility as a hedge: If demand turns out to be low, its net present value is estimated at $22 million; if demand turns do nothing and realize a net present value of $46 million, or it could expand and realize a net present value of $50 million. If the firm builds a large facility and demand is low, the net present value will be $20 million, whereas high demand will result in a net present value of $5 Answer the following questions. Include arguments and computations. a) (1 point) What is the maximin alternative? b) (2 points) What is the minimum average (!!!!) regret alternative? c) (2 points) What is the expected value of the best alternative? d) (2 points) What is the EVPI (expected value of perfect information)? e) (3 points) Perform sensitivity analysis on P (high demand): Determine the value of the optimal alternative (the alternative with the smallest expected complete interval [0,1].