A leisure company owns a number of large health and fitness resorts, but one is suffering from declining sales and is predicted to make a loss in the next year. As a result management have identified a number of possible actions: (1) Shut down the resort and sell off the assets (2) Undertake a major upgrade to facilities costing $4·5m (3) Undertake a minor upgrade to facilities costing $2m The upgrades are predicted to have variable results and the probability of good results after a major upgrade is 0·8, whereas the probability of good results after a minor upgrade is 0·7. The company is risk neutral and has prepared the following decision tree. Which decision should the company make?