0.5 An investor is considering opening one of two equally risky franchises, Shop X or Shop Y. This investor has collected the following information: Investment at Expected Probability of Expected Annual Cash Flow time zero Sales Expected Sales beginning at time 1 Shop High 0.6 Perpetuity of 120 300 Low 0.4 Perpetuity of 40 Shop High Perpetuity of 100 Y 200 Low 0.5 Perpetuity of 50 The expected net present value of investing in Shop X is 800. What is the expected net present value of investing in Shop Y? A 550 616 682 710 738 B D E