For the problem given in Question 3, assume that the probability of high demand level is 0.2, the probability of medium demand level is 0.5, and the...

For the problem given in Question 3, assume that the probability of high demand level is 0.2, the probability of medium demand level is 0.5, and the probability of low demand level is 0.3.

(a) Calculate the expected value of each decision alternative. What is your recommendation using the expected value criterion?

(b) Calculate the expected opportunity loss value of each decision alternative. What is your recommendation using the expected opportunity loss criterion?

(c) Calculate and interpret the value of perfect information.