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Question: problem 528 additionalstatic question help mr hess of california...

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Problem 5.28 (additional/static) Question Help * Mr. Hess of California Windows, Inc. is considering making a change in the material the firm uses for panes in its residential window line. The new material has a slight mirror attribute that assists in reflecting ultra-violet light and restricts the transmission of heat. The new material will raise the cost of a standard window by $3.76. The current window is in the mature stage of the life cycle and with no modifications, Hess has estimated that sales of the window line will be 240,000 units per year for the next 5 years with a probability of 0.3, and has a 0.70 probability of selling 180,000 units per year over the five years. The standard proft margin of a window unit is $45 With the new glass material, the selling price per unit can be increased by $5 (but with the added cost, the net increase in profit margin ($45+$5)-$3.76) $46.24) However, Hess estimates that the demand for the newly designed window will be 210,000 units with a probability of 0.6, and that there will be a 0.4 probablity of sales of 150,000 units. Choose the correct decision tree that corresponds with the decision made by Mr. Hess d) B. New material No change High demand High demand No change New material Low demand Low demand High demand У с. High demand No No change demand demand Enter your answer in the answer box and then click Check Answer Check Answor Clear All o parts
EQuestion Choose the correct decision tree that corresponds with the decision made by Mr. Hess O A. No change O B. New material High demand High demand New material No change Low demand Low demand Ус. High demand OD. High demand No c No change Low demand Low demand High demand High demand New material New material Low demand Low demand (enter your response as a whole number) moneta Enter your answer in the answer box and then click Check Answer. Check Answer Clear All parts remaining
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