excel probability pay offs

Step

Instructions

Points Possible

1

Start Excel. Download and open the workbook named: Chapter_8_Probability_Payoffs_Problem_Start.

0

2

In cells F18-F21 and H18-H21, by using cell references, calculate the profits for Restaurant 1 and Restaurant 2 for each of the decision combinations. Use cells E6-E14.

8

3

In cell F23, determine the correct decision for Restaurant 2 if Restaurant 1 decides to release their burrito.

1

4

In cell F25, determine the correct decision for Restaurant 2 if Restaurant 1 decides not to release their burrito.

1

5

In cells F28 and F29, enter the values for probabilities of releasing the holiday items by each of the restaurants. Note: Do not use the equal sign when entering a numeric value.

2

6

In cells F31-G32, by using cell references, calculate the expected profits for each restaurant under each decision. Use cells F18-F21, H18-H21, and F28-F29.

4

7

Save the workbook. Close the workbook and then exit Excel. Submit the workbook as directed.

0

Total Points

16