Assume you have a sum of money available that you would like to invest in one of the three available investment plans: stocks, bonds, or money market. The conditional payoffs of each plan under two possible economic conditions are shown below. The probability of the occurrence of economic condition I is 0.28. 
a.Compute the expected value of the three investment options. Which investment option would you select, based on the expected values?
b.Compute the expected value with perfect information (i.e., expected value under certainty).
c.Compute the expected value of perfect information (EVPI).
Definitions:
Wages Expense
The total amount of wages paid to employees during a specific period as an expense to the company.
Interest Expense
The price paid by an entity for the privilege of using borrowed funds over a designated period.
Operating Income
Earnings generated from a company's core business operations, excluding deductions of interest and taxes.
Credit Sales
Transactions where goods are sold and payment is received at a later date, extending credit to the buyer.
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