Consider the probability distributions of the first year cash flows of two projects, MNO and PQR:

(a)
Calculate the range of possible cash flows for each project (b)
Calculate the expected cash flow for each project (c)
Calculate the standard deviation of the possible cash flows for each project (d)
Calculate the coefficient of variation of the possible cash flows for each project (e)
Which project has more risk? Why?LO3

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MNO PQR Possible cash flow Probability -$10,000 20% $0 60% +$20,000 20%