Exercise 6-20

For each of the following, determine the expected cash flows. (Round answers to 0 decimal places, e.g. 5,845. Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

		Cash Flow			Probability			Expected
		Estimate			Assessment			Cash Flow
(a)		$5,030			30	%		$
		6,480			50	%
		7,820			20	%
					Total Expected Value			$
(b)		$5,480			20	%		$
		7,460			60	%
		8,530			20	%
					Total Expected Value			$
(c)		$(1,110	)		10	%		$
		3,150			80	%
		5,020			10	%
					Total Expected Value			$