qjmonroe qjmonroe

08-05-2024
Mathematics

Answered

A new products chief uncertainty is its annual net revenue. The initial investment in the product is $550,000. The firms interest rate is 10%. What is the expected PV and standard deviation of the net revenue?

Pessimistic Probability-0.35 Net revenue-$35,000 Life (in years)-6

Most likely Probability-0.45 Net revenue-$50,000 Life (in years)-8

Optimistic Probability-0.2 Net revenue-$75,000 Life (in years)-10

A new products chief uncertainty is its annual net revenue The initial investment in the product is 550000 The firms interest rate is 10 What is the expected PV class=

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