44. Consider an investment alternative having a 6-year planning horizon and expected values and variances for statistically independent cash fl ows as given below:

Using a discount rate of 10%, determine the expected values and variances for both present worth and annual worth. Based on the central limited theorem, compute the probability of a positive present worth; compute the probability of a positive annual worth.

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j 0 1 23456 E(C) -$22,500 V(C;) 625 x 104 4,000 16 x 104 5,000 25 x 104 6,000 36 x 104 7,000 49 x 104 8,000 64 x 104 9,000 81 x 104