Talbot Industries is considering a proposed project for its capital budget. The company

estimates the project$$s NPV is R$12$ million. This estimate assumes that the economy and market

conditions will be average over next few years. The company$$s CFO, however, forecasts there

is only a $50\%$ chance that the economy will be average. Recognising this uncertainty, she has

also performed the following scenario analysis:

Economic Scenario Probability of Outcome NPV

Recession $0\mathrm{.}05-$R$70$ million

Below Average $0\mathrm{.}20-25$ million

Average $0\mathrm{.}5012$ million

Above average $0\mathrm{.}2020$ million

Boom $0\mathrm{.}0530$ million

Required:

What is the project$$s:

$6\mathrm{.}1.$ Expected NPV $(2)$

$6\mathrm{.}2.$ Standard deviation, and $(2)$

$6\mathrm{.}3.$ Coefficient of variance? $($