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Mitchell Auto Parts Inc. has estimated the probability distribution of its annual net cash flows as follows: Profitability Cash Flow (in Thousands of Dollars) 0.10

Mitchell Auto Parts Inc. has estimated the probability distribution of its annual net cash flows as follows:

Profitability

Cash Flow (in Thousands of Dollars)

0.10

$1,000

0.20

1,500

0.40

2,000

0.20

2,500

0.10

3,000

a. Compute the expected annual cash flow.

b. Compute the standard deviation of annual cash flows.

c. Compute the coefficient of variation of annual cash flows.

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