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A decision tree shows a 60% probability of $2 million in returns and a 40% probability of $1 million in returns. What is the maximum
A decision tree shows a 60% probability of $2 million in returns and a 40% probability of $1 million in returns. What is the maximum you would invest today in this project if the cash inflow occurs one year in the future and the discount rate is 10%?
A)$1,272,727
B)$1,363,636
C)$1,454,545
D)$1,600,000
E)$1,760,000
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