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1. When your company's Career Resource Center opens, your research indicates that its Net Present Value has a 60% chance of being $72,000. This NPV

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1. When your company's Career Resource Center opens, your research indicates that its Net Present Value has a 60% chance of being $72,000. This NPV considers the present value of a decrease in turnover costs due to the center of $112,000 minus the present value of costs to stock and staff it as and the annual depreciation on the equipment over the project's term. The present value of all these costs totals $40,000. PV Cash Inflows - PV Cash Outflows = NPV$112,000 - $40,000 = $72,000, But the center also has a 40% chance of barely breaking even with the present value of the reduction of turnover being $42,000 and the present value of costs still the amounts listed above. Given the possible outcomes and their probabilities, what is the expected outcome of the Net Present Value for the Career Resource Center project? 2. What is the expected value of the Return on Investment of investing in the succession management software under the conditions described below. Scenario Probability A Software is widely used and improves company performance by $250,000. 15% B. Software is moderately successful and improves performance by $75,000, 40% C. Software does not improve performance as revenue equal expenses 25% Scenario Probability A. Software is widely used and improves company performance by $250,000. 15% B. Software is moderately successful and improves performance by $75,000. 40% C. Software does not improve performance as revenue equal expenses 25% D. Damage control loses company money in the amount of $124,000. 20%

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