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Assessing return and risk Swift Manufacturing must choose between two asset purchases. The annual rate of return and the related probabilities given in the following
Assessing return and risk Swift Manufacturing must choose between two asset purchases. The annual rate of return and the related probabilities given in the following table
summarize the firm's analysis to this point.
a For each project, compute:
The range of possible rates of return.
The average return
The standard deviation of returns
The coefficient of variation of returns.
c Which project would you consider less risky? Why?
Answers insert your answers in the highlighted cells; use cell references, equations, and functions wherever possible
a
The range of possible rates of return.
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