Below is the complete, solved decision tree for Baby Sam v. True North Hospital.
The entire tree is shown to help you appreciate why the Expected Value
came out at $5.5 million. Scroll to the far right-hand side of the tree where each
scenario ends with two pieces of information. First is a dollar figure (TOTAL =$..)
that indicates the amount owed if all the issues in the case were resolved in the
manner that they are along that particular path. (Note that each of these TOTALs
includes a $1 million credit based on the codefendant's settlement.) Second is a
probability (P=0...) that indicates the likelihood of that particular
scenario occurring. The Expected Value of this case ($5.5M) is shown in a box in the
lower left part of the tree, just inside the first issue.