Payoff when advertising is applied for each scenario= profit increase in that scenario- cost of advertizing
Payoff table Payoff when advertising is applied for each scenario= profit increase in that scenario- cost of advertizing Highly successful Moderately successful Unsuccessful Invest in advertising 225000 45000 -75000 Not invest in advertising 0 0 0 2. Expected money criteria Expected payoff if invested in advertising= probability of highly successful* payoff of highly succesful+probability of … Read more