Business, 16.10.2020 14:01 bellabrill

The city of Belgrade, Serbia, is contemplating building a second airport to relieve congestion at the main airport and is considering two potential sites, X and Y. Hard Rock Hotels would like to purchase land to build a hotel at the new airport. The value of land has been rising in anticipation and is expected to skyrocket once the city decides between sites X and Y. Consequently, Hard Rock would like to purchase land now. Hard Rock will sell the land if the city chooses not to locate the airport nearby. Hard Rock has four choices: (1) buy land at X, (2) buy land at Y, (3) buy land at both X and Y, or (4) do nothing. Hard Rock has collected the following data (which are in millions of euros): Site X Site Y
Current purchase price 29 18
Profits if airport & hotel built at this site 35 30
Sale price if airport not built at this site 8 4

Hard Rock determines there is a 55% chance the airport will be built at X (hence, a 45% chance it will be built at Y)

Set up a decision table (in millions of Euros) (enter as a whole number and include minus sign if necessary)

State of Nature
Alternatives Airport at X Airport at Y
buy land at X
buy land at Y
buy land at both X & Y
Do nothing
Probability 0.55 0.45

Answers: 2

Show answers

Another question on Business

Business, 22.06.2019 18:00

On september 1, 2016, steve loaned brett $2,000 at 12% interest compounded annually. steve is not in the business of lending money. the note stated that principal and interest would be due on august 31, 2018. in 2018, steve received $2,508.80 ($2,000 principal and $508.80 interest). steve uses the cash method of accounting. what amount must steve include in income on his income tax return?

Answers: 1

Answer

Business, 23.06.2019 02:00

In his speech on varying explanations of how the earth came into existence, eduardo begins with opinions, moves to inferences, and uses scientific facts in support of his last point. what principle of supporting material organization is eduardo utilizing in his speech?

Answers: 3

Answer

Business, 23.06.2019 02:40

The mayflower, a seafood restaurant, had the following liabilities by the end of 2015: accounts payable $60,000 wages payable $100,000 unearned revenue $125,000 (60% will be earned in 2016) notes payable $140,000 ($45,000 payable in 2016) what is the amount that the mayflower should report as total current liability on its balance sheet as of december 31, 2015?

Answers: 2

Answer

Business, 23.06.2019 08:00

In a high school with 3000 students, counselors are putting together a math tutoring program for the neighboring middle school. they plan to invite high school students with high average test scores to tutor middle school students, and they would like to offer gift cards to the student tutors. the counselors have a spreadsheet showing each student’s average test scores, and in order to find out how many gift cards they should purchase, the counselors need to count how many students would qualify to become tutors. which type of function would best the counselors determine the number of eligible students?

Answers: 3

Answer

You know the right answer?

The city of Belgrade, Serbia, is contemplating building a second airport to relieve congestion at th...

Questions