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Part V: Scenario Analysis Use this information to answer questions 31- 34. Suppose BearKat Enterprises management team decides to do a scenario analysis. They want

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Part V: Scenario Analysis Use this information to answer questions 31- 34. Suppose BearKat Enterprises management team decides to do a scenario analysis. They want you to calculate the expected NPV, standard deviation, and coefficient of variation for a new project. These are not the NPV's that you calculated earlier). They give you the following data: Best case has a 25% probability and has an NPV of $29 M. Base case has a 55% probability and has an NPV of $12M. Worst case has a 20% probability and has an NPV of -$35M. e . QUESTION 33 Use the information given for partV; Scenario analysis. What is the coefficient of variation of the NPVs of this project? A 2.25 B.3.22 C 3.02 D.4.36 QUESTION 34 A project that has a coefficient of variation of NPVS of 6.7 is less risky than a project that has a coefficient of variation of NPS of 2.1. True False

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