A well-known artist from Victoria, Australia, is considering salvaging the wreck of RMS Titanic to be displayed in his own commercial museum at salvaging cost of $70,000. However, this project requires approval from relevant governmental agencies. The initial inquiry undertaken by a lobbyist, on behalf of the museum's management, has revealed that if the wreck is evaluated at a substantial value, the approval may be withheld, whereas if the value is low-moderate the approval may be granted. In order for an evaluation to be done in the first place, the museum's management has been advised to submit a bid to a nominated regulatory body. If the bid is too low, the regulatory body may not set up a mechanism to evaluate the wreck, because it will be considered not worth the hassle. However, in the event of losing the bid, the Museum could build a replica of the passenger liner at a cost of $150,000 which they consider an acceptable second-best alternative. The museum's management has estimated that they could get an evaluation done for $100,000, but this might lead the regulatory body to consider the wreck to be of substantial value and not approve their salvaging request. With a bid of less than $30,000 the agency is likely to not set up the evaluation mechanism in the first place. 2 Spring 2015 – ENGG953 Based on this scenario, develop a decision making model representing the options available for the museum. (Marks are equally allocated for the following elements of your response): a) Articulation of the problem outlining the decision alternatives, chance events and their probabilities according to your knowledge and estimates, as well as possible outcomes; (7.5 marks) b) Construction of a decision tree showing the above information, including the calculation of expected values associated with each alternative; (7.5 marks) c) Interpretation of the results of your analysis, including acknowledgement of any other relevant factors that need to be considered in relation to this decision scenario; and (7.5 marks) d) Statement of all assumptions and estimates used, including necessary justifications. (7.5 marks) Problem 2 (20 marks) West Digital in Singapore has two manufacture lines to produce server hard disk drives (HDDs). The manufacturing process of the products through assembly, burn-in test, performance test, and packaging and distribution is shown Figure 2-1.