Suppose the contractor has found some materials on Craigslist that can drop the construction cost of a large facility to $1,500,000

These materials cannot be used in the construction of the small facility, so its price remains as indicated in Scenario 6.1. Determine the likelihood of high demand that would make the decision maker indifferent between the two alternatives for a two year time period.
A) 1.0
B) 0.72
C) 0.92
D) 0.86


Answer: A

Business

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