Question:
The operations manager for a well-drilling company must recommend whether to build a new facility, expand his existing one, or do nothing. He estimates that long-run profits (in $000) will vary with the amount of precipitation (rainfall) as follows:
Alternative Precipitation
Low Normal High
Do nothing -100 100 300
Expand 350 500 200
Build new 750 300 0
If he feels the chances of low, normal, and high precipitation are 30 percent, 20 percent, and 50 percent respectively, What is EVPI (Expected value of Perfect Information)?
A. $140,000
B. $170,000
C. $285,000
D. $305,000
E. $475,000
Answer:
D. $170,000
Explanation:
The expected long run profits are for
Low Normal High
Do nothing -100*0.3 100*0.2 300*0.5 = 140
Expand 350*0.3 500*0.2 200*0.5 = 305
Build new 750*0.3 300*0.2 0*0.5 = 285
Therefore the expected long run profits are
$140,000
$305,000
$285,000
Based on his selected option being either to build new or to expand, the most profitable option is to expand
=$305,000
EVPI = EPPI-EMV =$170,000
It is the heat required to raise the temperature of the unit mass of a given substance by a given amount (usually one degree).
Answer:
Disruption to electricity power grid
Explanation:
We're looking a a solar flare. This will whip solar particles at high velocity into space and, If they are near earth, will interact with the earth's magnetic field. These magnetic changes will be measurable in the electric grid. Whether they are strong enough to cause "disruption" depends on a huge number of factors such as strength of and angles of the interacting magnetic fields and location of grid infrastructure,
Answer:
at point A the ball possess pontetial energy , point B kinetic energy then point C pontetial energy
