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Please Answers Risk and probability Micro-Pub, Inc., is considering the purchase of one of two microfilm cameras, R and S. Both should provide benefits over
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Risk and probability Micro-Pub, Inc., is considering the purchase of one of two microfilm cameras, R and S. Both should provide benefits over a 10-year period, and each requires an initial investment of S4,000. Management has constructed the following table of estimates ofrates of return and probabilities for pessimistic, most likely, and optimistic results: a. Determine the range for the rate of return for each of the two cameras. b. Determine the value of the expected return for each camera. c. Which camera purchase is riskier? Why? The range for the rate of return for camera R is 1%. (Round to the nearest whole number.) a. The rm ge for the rat, of renenfor en nern s-D% (Rund to the nearest whole mm her b. The value of the expected return for camera R is %. (Round to two decimal places.) The value of the expected return for cameras is %. (Round to two decimal places.) c. Which camera purchase is riskier? Why? (Select from the drop-down menus.) The purchase of The range for the rate of return for camera S is %. (Round to the nearest whole number.) Il is riskier because it has a range for the rate of returnStep by Step Solution
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