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please do all and i will give a like for sure Use this information to answer questions 28-30. Suppose BearKat Enterprises management team decides to
please do all and i will give a like for sure
Use this information to answer questions 28-30. 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 10% probability and has an NPV of $25 M. Base case has a 65% probability and has an NPV of $15M. Worst case has a 25% probability and has an NPV of -$25M. Use the information given for part V; Scenario analysis. What is the expected NPV of this project? A. $15M B. $6M O C. -$15M OD. -$20M QUESTION 29 Use the information given for part V; Scenario analysis. What is the standard deviation of the NPVs of this project? A. $329M B. $21.6M C. $19.5M OD. $18.14M Use the information given for part V; Scenario analysis. What is the coefficient of variation of the NPVs of this project? OA. 2.25 B.2.36 OC. 3.02 OD.3.18 QUESTION 31 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 NPVs of 2.1. True False What is a real option with a business case analysis? O A. This is a type of financial derivative. OB. This refers to management's ability to reject a project. C. This is a way to analyze a project that takes into consideration that management can take action after year, Le abandonment, expansion, Investment timing etc. OD. This is a way to analyze a project that allows management to change one variable at a time to understand where the risk is in the project. QUESTION 33 Both sensitivity analyses and scenario analyses help managers deal with risk. True False Step by Step Solution
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