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Thank you for your response.
I have watched your Lectures, and have bought the revision kit of BPP.
This is about Chapter 10, Example 2.
Decision at 1: choose market research, $7.43 m being the difference between the cost of market research of $0.20 m and the Expected value at Node F of $ 7.63 m.
$7.43m = 7.63m – 0.20m
Thank you
Thank you… this is to the point.
Thanks Mr. John…
I assume the reduction in the hours of manpower (0.75 hr) subsequent to increasing RAM to produce additional 1 unit of E is offset by an equivalent increase to produce S.
Technically, it is to maintain the max hrs of labor, as being a constraint. Otherwise, increment of contribution for $1.125 is not viable for comparison because the slope of Labor Hrs will not remain the same.
Your further eleboration is appreciated.
Thanks,
