SOLUTION: Hi, a tutor kindly helped me solve a question relating to below earlier, this is the last one I need help on, I'd appreciate any kind of help recieved, thanks Sam's Takeaway has

Algebra ->  Probability-and-statistics -> SOLUTION: Hi, a tutor kindly helped me solve a question relating to below earlier, this is the last one I need help on, I'd appreciate any kind of help recieved, thanks Sam's Takeaway has      Log On


   

Question 36203: Hi, a tutor kindly helped me solve a question relating to below earlier, this is the last one I need help on, I'd appreciate any kind of help recieved, thanks
Sam's Takeaway has the option of carrying out some market research to improve their original estimations of demand. The report could give two possible results:
1. A favourable result
2. An unfavourable result.
If the market research report is favourable the probability of high demand is 0.95 and of low demand 0.05.
If the market research report is unfavourable the probability of high demand is 0.30 and low demand 0.70.
(c) Construct a spreadsheet to work out the branch probabilities of a favourable report and of an unfavourable report.
(6 marks)
(d) Draw the tree diagram showing all of the branch probabilities and work out the decision Sam's Takaway should make.
Answer by stanbon(75887) About Me  (Show Source):
You can put this solution on YOUR website!
I may be wrong but I think you need one other piece of information
on this problem. For example, all the probabilities could be filled
in if you knew P(high demand|favorable result). Without another piece
of info I do not see how you would get the answers requested.
Cheers,
Stan H.