Atomic Blaster Bean Company is considering the purchase of one of bodacious bean burners Hickory Honey or Beantastic burner. Both should provide a benefit over a 10-year period and each requires an investment of $450,000.

Looking at the following table which includes estimates of rates of return, probabilities for pessimistic, most likely and optimistic results.

Hickory Honey

Investment Amount Probability

$450,000 1.00

Rate of Return

Pessimistic: 10% .10

Likely: 14% .70

Optimistic 19% .20

Bean-tastic Burner

InvestmentAmount Probability

$450,000 1.00

Rate of Return

Pessimistic: 7% .30

Likely: 14% .40

Optimistic 21% .30

A) Range of rate of return

B) Expected Return?

C) Standard Deviation?

D) Best option?