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need help thanks Since there are limitations to the NPV/PB approach, some managers may want to use alternative techniques to evaluate their project risk. For

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Since there are limitations to the NPV/PB approach, some managers may want to use alternative techniques to evaluate their project risk. For larger projects, some managers will employ a simulation analysis. Aithough it is a very expensive technique, a simulation analysis helps financiat managers evaluate project risk - that is, the probability of project success or failure based on company benchmarks. Suppose you are evaluating the risk of two major investment projects fo your business firm. After all preliminary calculations and simulation iterations, you've created a probability distribution and computed the mean values for the two projects. You also have some data on the number of standard deviations (z), which tells you how far away a particular value of return or cash. flow is from the expected value. Suppose you base your investment decision on the projects' standard deviation. Which project seems riskier based on this criterion? Project Y Project X Alternatively, suppose you base your decision on the projects' coefficient of variation. Which project seems riskier based on this criterion? Project Y. Project X Based on your simulation results, what is the probability that project Y will have a net present value of greater than $27,350 ? 30.85% 50.00% 16.35% 10.38%

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