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Ms. Milva Melloni the CFO of Quaderno Company ( QC ), is considering the following mutually exclusive investment projects. The initial investment for both projects

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Ms. Milva Melloni the CFO of Quaderno Company ( QC ), is considering the following mutually exclusive investment projects. The initial investment for both projects is $3,500, and the life of both projects is ten years. The probability distributions of the cash flows of the projects are given in the table below. QC uses a WACC of 12.5% for less risky projects and a WACC of 15.5% for riskier projects. a. What are the standard deviation and the coefficient of variation of each project? b. Calculate risk adjusted NPV for each project. c. What project do you advise Ms. Melloni to select? You must explain your approach in 5 lines in writing. Please show your work

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