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Shao Industries is considering a proposed project for its capital budget. The company estimates the project's NPV is $ 1 2 million. This estimate assumes

Shao Industries is considering a proposed project for its capital budget. The company estimates the project's NPV is $12
million. This estimate assumes that the economy and market conditions will be average over the next few years. The
company's CFO, however, forecasts there is only a 50% chance that the economy will be average. Recognizing this
uncertainty, she has also performed the following scenario analysis:
What are the project's expected NPV, standard deviation, and coefficient of variation? Enter your answers for the NPV and
standard deviation in millions. For example, an answer of $1.24 million should be entered as 1.24, not 1,240,000. Do not
round intermediate calculations. Round your answers to two decimal places.
E(NPV):
$
million
NPV :
$
million
CVNPV:
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