E 21 AaBbceDd AaBbCeDd AaBbc AabbCcc AaB 1 Normal 1 No Spac... Heading 1 Heading 2 Title Paragraph Styles Your company is thinking about bidding on a construction project. The initial investment (various equipment etc.) may be A (40% probability) but perhaps as high as B (60% probability). The annual benefit could be as much as C ((100-E)% probability) (in this case C - 100-82 = 18) but could be as low as D (E % probability). Lastly, the length of the project may be 10 years (55% probability) but could be 6 years (45% probability). Given this scenario answer the following questions. Your MARR is 12%. A = $205351 B = $273801 C = $54733 D=$41050 E = 82% a) How many possible outcomes are there? b) Create a table outlining what these outcomes look like (You don't need to fully solve, just set up each of the options into a row) I Initial Investment Probability Annual Probability Project Probability Joint Equation Benefit Length Probability for present value B C D c) Calculate the present value for 3 possible outcomes. E 21 AaBbceDd AaBbCeDd AaBbc AabbCcc AaB 1 Normal 1 No Spac... Heading 1 Heading 2 Title Paragraph Styles Your company is thinking about bidding on a construction project. The initial investment (various equipment etc.) may be A (40% probability) but perhaps as high as B (60% probability). The annual benefit could be as much as C ((100-E)% probability) (in this case C - 100-82 = 18) but could be as low as D (E % probability). Lastly, the length of the project may be 10 years (55% probability) but could be 6 years (45% probability). Given this scenario answer the following questions. Your MARR is 12%. A = $205351 B = $273801 C = $54733 D=$41050 E = 82% a) How many possible outcomes are there? b) Create a table outlining what these outcomes look like (You don't need to fully solve, just set up each of the options into a row) I Initial Investment Probability Annual Probability Project Probability Joint Equation Benefit Length Probability for present value B C D c) Calculate the present value for 3 possible outcomes