Q15) Build-Rite construction has received favorable publicity from guest appearances on a public TV home improvement program. Public TV programming decisions seem to be unpredictable, so Build –Rite cannot estimate the probability of continued benefits from it relationship with the show. Demand for home improvements next year may be either low or high. But Build-Rite must decide now whether to hire more employees, do nothing, or develop subcontracts with other home improvement contractors. Build-Rite has developed the following payoff table.Demand for Home ImprovementAlternativelowmoderatehighHire$250,000$100,000$625,000Subcontract$100,000$150,000$415,000Do nothing$50,000$80,000$300,000What is the decision based on each of the following criteria. Show work in making the decision for each criterion:Maximin b) Maximax c) laplace d) Minimax regret
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