Suppose an investment project has an NPV of $75 million if it becomes successful and an NPV
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Suppose an investment project has an NPV of $75 million if it becomes successful and an NPV of 2$25 million if it is a failure. What is the minimum probability of success above which you should make the investment?
a. 1/2
b. 1/3
c. 1/4
d. 1/10
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Related Book For
Managerial Economics
ISBN: 9781337106665
5th Edition
Authors: Luke M. Froeb, Brian T. McCann, Michael R. Ward
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