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As CEO of Internet Boondoggle Ventures (IBD), you are considering putting together a new vacation travel internet planning site. If you put together the site
As CEO of Internet Boondoggle Ventures (IBD), you are considering putting together a new vacation travel internet planning site. If you put together the site and it is highly successful, you believe the site would generate $8 million in present value of cash flows. If you put it together but it is not successful, you believe the site would generate only $1 million in present value cash flows. You believe there is a 45% probability that the site would be highly successful, and your costs of creating and maintain the site are $3 million. Which of the below best describes the expected value of this project
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