Kim wants to use Decision Tree Analysis to help her decide on which MBA program offer she should accept. Answer the following questions and clearly state any assumptions you are making.

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Book11.xlsx

ASSINGMENT 3

Table 1 Total Cost
College program Mid Tier top tier Mid tier Top Tier
tution $21,500.00 $74,700.00
room and board $18,000.00 $36,300.00 $39,500.00 $111,000.00
Table 2
Career Path Mid-Tier Program Top-Tier Program MID TIER 3.75 3.25 TOP TIER 3.75 3.25
Consulting $108,909.00 $152,000.00 $125,245.35 $103,463.55 $174,800.00 $144,400.00
Finance / Accounting $93,666.00 $174,000.00 $107,715.90 $88,982.70 $200,100.00 $165,300.00
Supply Chain / Operations $94,833.00 $138,000.00 $109,057.95 $90,091.35 $158,700.00 $131,100.00
Marketing / Sales $99,979.00 $112,000.00 $114,975.85 $94,980.05 $128,800.00 $106,400.00
Table 3
Careers Based off GPA 3.75 GPA 3.50 GPA 3.25 GPA
Consulting 35% 28% 10%
Finance / Accounting 30% 26% 35%
Supply Chain / Operations 20% 23% 35%
Marketing / Sales 15% 22% 20%
MID TIER PROGRAM
Careers Based off GPA 3.75 GPA 3.50 GPA 3.25 GPA
Consulting $16,336.35 $30,494.52 $5,445.45
Finance / Accounting $14,049.90 $24,353.16 $4,683.30
Supply Chain / Operations $14,224.95 $21,811.59 $4,741.65
Marketing / Sales $14,996.85 $21,995.38 $4,998.95
TOP TIER PROGRAM
Careers Based off GPA 3.75 GPA 3.50 GPA 3.25 GPA
Consulting $22,800.00 $42,560.00 $7,600.00
Finance / Accounting $26,100.00 $45,240.00 $8,700.00
Supply Chain / Operations $20,700.00 $31,740.00 $6,900.00
Marketing / Sales $16,800.00 $24,640.00 $5,600.00
Q2
There is a -$48405.58 difference in the EV salary between both programs. The Top-tier program is larger than then Mid-Tier program.
Q3
College Program FC Variable Cost Total Cost
Mid-tier $39,500.00 130000 $169,500.00
Top-Tier $111,000.00 130000 $241,000.00

Sheet6

MID TOP
3.75 3.5 3.25 3.75 3.5 3.25
125245.35 108909 103463.55 174800 152000 144400
107715.9 93666 88982.7 200100 174000 165300
109057.95 94833 90091.35 158700 138000 131100
114975.85 99979 94980.05 128800 112000 106400
Table 3
Careers Based off GPA 3.75 GPA 3.50 GPA 3.25 GPA
Consulting 35% 28% 10%
Finance / Accounting 30% 26% 35%
Supply Chain / Operations 20% 23% 35%
Marketing / Sales 15% 22% 20%
MID
Careers Based off GPA 3.75 3.5 3.25 EV Salary
Consulting $43,835.87 $30,494.52 $10,346.36
Finance / Accounting $32,314.77 $24,353.16 $31,143.95
Supply Chain / Operations $21,811.59 $21,811.59 $31,531.97
Marketing / Sales $17,246.38 $21,995.38 $18,996.01
EV per GPA $115,208.61 $98,654.65 $92,018.28 $97,155.92
TOP
Careers Based off GPA 3.75 3.5 3.25 EV Salary
Consulting $61,180.00 $42,560.00 $14,440.00
Finance / Accounting $60,030.00 $45,240.00 $57,855.00
Supply Chain / Operations $31,740.00 $31,740.00 $45,885.00
Marketing / Sales $19,320.00 $24,640.00 $21,280.00
EV per GPA $172,270.00 $144,180.00 $139,460.00 $145,561.50