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Should OTELO LLC. put in a project proposal for the Baker Street development? What kind of proposal should they put in? Can you make and evaluation based on the payoff table below using the maximax, maximin, and minimax regret criteria?
Decision Win Contract Lose Contract
Business proposal $1,650,000 -$18,500
Mixed proposal $1,455,000 -$16,400
Residential proposal $1,340,000 -$2,000
No proposal $0 $0
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How does a breakeven analysis help an entrepreneur define his or her business strategy?
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