Vasco da Gama Industries is deciding whether to make or outsource the new batteries that will power its new Hydro Bat-Boat. Guy Josobo is the CEO, and he runs all the production managers for the project. He has determined the following costs: Respectively the amounts are $-20,000 (lose money) low, $40,000 medium, and $100,000 high demand to produce at Vasco da Gama. To outsource the project, he has determined the following costs: $10,000 low, $45,000 medium, and $70,000 high demand. Using this information, complete the following steps:
Develop a decision tree or decision tree chart to solve Guy Josobo’s dilemma.
At each decision node, select the best decision alternative for both the manufacture and outsource choices.
Determine the state of probabilities for all the demands: low demand is .30, medium demand is .45, and high demand is .25.
Using your decision tree and states of probabilities, calculate the cost at each outcome node, and determine the best solution.
Show all your work for these steps.
Describe and justify the steps in a decision tree analysis that Guy Josobo performed for Vasco da Gama Industries, and include any possible challenges he will face.
Explain what decision Guy Josobo should make, and explain your reasoning.
Your completed assignment must be at least three pages in length, and you must use at least two academic sources. Be sure to include an introduction that provides background of the topic and the purpose of the paper. Adhere to APA Style when constructing this assignment, including in-text citations and references for all sources that are used. Please note that no abstract is needed.
As the best, my homework help website in the world, Writersabc.com strives to deliver only high-quality finished papers to all customers. We value impeccable quality and guarantee that we will deliver on that promise more than anything else. We will deliver!
With us you are guaranteed of quality work done by our qualified experts.Your information and everything that you do with us is kept completely confidential.
Have you received your finished paper but are not satisfied with what our writer submitted? You can initiate our money-back guarantee to get your money back with no strings attached.Read more
Writersabc.com is the best my homework help website in the world. At WritersABC, we have a team of certified, tried, and tested writers who work around the clock to ensure that you receive only high-quality, 100% original finished papers.Read more
At WritersABC, we guarantee all our customers of the best essay writing service in the writing industry. And that’s precisely what we strive to deliver. As such, we encourage all our customers to utilize our unlimited free-revision policy if you aren’t satisfied with your paper. Don’t accept any paper until you are 100% satisfied with it.Read more
We value the trust that our clients accord us and respect every customers’ rights to personal data protection. We will never share, sell, or rent any information that we collect from you with any third parties. Both your personal and financial information is safe with us.Read more
We have only gotten this far with the help of our loyal customers and a team of dedicated experts. As the best, my homework help website, WritersABC implores customers to help make our writers’ work easier. Visit our fair-cooperation guarantee for more information on the same.Read more