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Risk and probability Micro Pub, Inc. is considering the purchase of one of the microfilm camera ands. Both should provide benefits over 10 year penod

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Risk and probability Micro Pub, Inc. is considering the purchase of one of the microfilm camera ands. Both should provide benefits over 10 year penod and each require an intelistment of 54.000 Management has contructed the following table of estimates of of return and probabies for pessimist, most likely and its 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 camer c. Which camera purchase is riskier? Why? 1. The range for the rate of rotum for camers (Round to the newest whole number) The range for the rate of return for cameras I (Round to the nearest whole number) The value of the expected retum for camera is found to two decimal places) The value of the expected return for camera S. Round to two decimal places) e. Which camera purchase is ker? Why? (Select from the drop-down menus) The purchase of Wir because it has a range for the role of mum je - i Data Table nea tw (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) od lowl Camera R Amount Probability $4,000 1.00 Camera S Amount Probability $4,000 1.00 nge Initial investment Annual rate of return Pessimistic Most likely Optimistic 17% 25% 32% 0.29 0.47 0.24 20% 27% 31% 0.19 0.55 0.26 Print Done

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