Risky Cash Flows The Bartram-Pulley Company (BPC) must decide between two mutually exclusive investment projects. Each project costs $8,500 and has an expected life of 3 years. Annual cash flows from each project begin 1 year after the initial investment is made and have the following probability distributions: Project A Probability 0.2 Cash Flows 0.6 0.2 $8,000 8,500 Project B Probability Cash Flows 0.2 $ 0 0.6 9,000 0.2 8,500 24,000 BPC has decided to evaluate the riskier project at an 11% rate and the less risky project at a 9% rate. a. What are the expected values of the annual cash flows from each project? Do not round intermediate calculations. Round your answers to the nearest dollar. Project A Expected annual cash flow $ Project B What is the coefficient of variation (CV) for each project? Do not round intermediate calculations. Round your answers to two decimal places. Project A Project B Coefficient of variation b. What is the risk-adjusted NPV of each project? Do not round intermediate calculations. Round your answers to the nearest cent. Risk-adjusted NPV Project A $ Project B c. If it were known that Project B is negatively correlated with other cash flows of the firm whereas Project A is positively correlated, how would this affect the decision? This would tend to reinforce the decision to -Select- Project B. If Project B's cash flows were negatively correlated with gross domestic product (GDP), would that influence your assessment of its risk? -Select-