​Of the two software options,complicated software,now costing $15.5 million with a probability of success at 50%,and the simplified software,with a probability of a success at 65%,which one would the firm choose to develop if it can develop only one?

A) ​The simple voice-activated software
B) The complicated thought-activated software
C) Neither of the software
D) ​Need more information

To determine the expected value of each option, we use the following formula:

Expected Value = Probability of Success x Revenue - Cost

For the complicated software:
Expected Value = 0.5 x $50 million - $15.5 million = $9.5 million

For the simple software:
Expected Value = 0.65 x $10 million - $2 million = $4.5 million

Therefore, the expected value of the complicated software is higher than the expected value of the simple software. Therefore, the firm should choose to develop the complicated thought-activated software.