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A proposed project has the following cash flow estimates:A proposed project has the following cash flow estimates: Assuming independent cash flows, a normally distributed net

A proposed project has the following cash flow estimates:A proposed project has the following cash flow estimates:
Assuming independent cash flows, a normally distributed net present value, and a minimum attractive rate of return of
18%, determine an analytical solution for the following:
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Part a
Part b
Part c
Part d
Using a Monte Carlo simulation with 10,000 iterations, estimate the probability that the present worth is positive
and estimate the probability that the present worth is greater than $5,000.
The probability that the net present value is positive:
The probability that the net present value is greater than $5,000 :
Carry all interim calculations to 5 decimal places and then round your final answer to 1 decimal
place. The tolerance is +-0.4.
Assuming independent cash flows, a normally distributed net present value, and a minimum attractive rate of return of
18%, determine an analytical solution for the following:
Click here to access the TVM Factor Table Calculator
Part a
Part b
Part c
Part d
Using a Monte Carlo simulation with 10,000 iterations, estimate the probability that the present worth is positive
and estimate the probability that the present worth is greater than $5,000.
The probability that the net present value is positive:
%
The probability that the net present value is greater than $5,000 :
Carry all interim calculations to 5 decimal places and then round your final answer to 1 decimal
place. The tolerance is +-0.4.
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