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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
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) | $5,010 | 20 | % | $ | ||||
6,370 | 60 | % | ||||||
7,680 | 20 | % | ||||||
Total Expected Value | $ | |||||||
(b) | $5,670 | 20 | % | $ | ||||
7,470 | 60 | % | ||||||
8,470 | 20 | % | ||||||
Total Expected Value | $ | |||||||
(c) | $(1,030 | ) | 10 | % | $ | |||
3,130 | 70 | % | ||||||
5,240 | 20 | % | ||||||
Total Expected Value | $ |
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