a. determine the range of annual cash flows for each

b. construct a table of the NPV's associated with each outcome for both machines.

c. find the range of NPV's and subjectively compare the risk associated with these machines

P11-21 (similar to) Question Help Scenario analysis Kiosk Corp produces vending machines and places them in public buildings The company has obtained permission to place one of its machine in a local library The company makes two types of machines One distributes soft drinks, and the other distributes snack foods Kiosk expects both machines to provide benefits over a 11-year period, and each has a required investment of $5,100. The firm uses a 6.07 % cost of capital. Management has constructed the following table of estimates of annual cash inflows for pessimistic, most likely, and optimistic results (Click on the icon located on the top-right corner off the data table below in order to copy its contents into a spreadsheet) Soft drinks Snack foods Initial investment (CFo) $5,100 $5,100 Outcome Annual cash inflows (CF) Pessimistic $460 $440 Most likely Optimistic 780 780 1,050 1,150 (Round to the nearest dollar) a. The range of annual cash inflows for the soft drink machine is S