Consider the disaster risk decision tree model.
(a) Derive a formula to represent the amount that the probability of all suppliers being disrupted simultaneously, P(n), will increase if the super-event probability S is doubled.
(b) Test your formula by computing the amount of increase if the original S equals 2% and there are two suppliers, each with U = 5%.

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The Answer of Consider the disaster risk decision tree model.
(a) Derive a formula to represent the amount that the probability of all suppliers being disrupted simultaneously, P(n), will increase if the super-event probability S is doubled.
(b) Test your formula by computing the amount of increase if the original S equals 2% and there are two suppliers, each with U = 5%.

Consider the Disaster Risk Decision Tree Model