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Video Tech is considering marketing one of two new video games for the coming holiday...

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Accounting

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Video Tech is considering marketing one of two new video games for the coming holiday season: Battle Pacific or Space Pirates. Battle Pacific is a unique game and appears to have no competition. Estimated profits (in thousands of dollars) under high, medium, and low demand are as follows: Video Tech is optimistic about its Space Pirates game. However, the concern is that profitability will be affected by a competitor's introduction of a video viewed as similar to Space Pirates. Estimated profits (in thousands of dollars) with and without competition are as follows: (a) Develop a decision tree for the Video Tech problem. Select the correct graph. All profit values are in thousands of dollars. (i) Profit Probability (ii) (iii) (iv) (b) Using expected value, what is your recommended decision? (c) -Selectyouranswer-BattlePacificBarates]recommendeddecision.Selectthe (c) Show a risk profile for your recommended decision. Select the correct graph. All profit values are in thousands of dollars. (iii) (iv) (d) Use sensitivity analysis to determine what the probability of competition for Battle Pacific would have to be for you to be indifferent to the recommended decision alternative. If required, round your answer to three decimal places

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