Calculate the project's coefficient of variation. (Hint: Use the expected NPV.) Squared dev. Prob. NPV NPVi - EINPV) SQuared deviation times probability 0.24 S6,289.81 S5,829 SS 0.24 -$2.390.74 -$2.852SS 0.32-S1.233.33 -S1694 SS 0.20 -S 400.00 -S861 SS 100 $ 46111 Variance S.. Standard deviation S 5.87 6.52 7.25 7.97 8.77

Essentials of Business Analytics (MindTap Course List)
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ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Chapter15: Decision Analysis
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Problem 24P: Translate the following monetary payoffs into utilities for a decision maker whose utility function...
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Calculate the project's coefficient of variation. (Hint: Use the expected NPV.)
Squared dev.
Prob. NPV NPVI - E(NPV) Squared deviation times probability
0.24 $6,289.81 $5,829 S$
0.24 -$2.390.74 -$2,852 S$
0.32-$1,233.33 -S1,694 $S
0.20 -$ 400.00 -$861 $S
100 $ 461.1i Variance $.
Standard deviation S
5.87
6.52
7.25
7.97
8.77
Transcribed Image Text:Calculate the project's coefficient of variation. (Hint: Use the expected NPV.) Squared dev. Prob. NPV NPVI - E(NPV) Squared deviation times probability 0.24 $6,289.81 $5,829 S$ 0.24 -$2.390.74 -$2,852 S$ 0.32-$1,233.33 -S1,694 $S 0.20 -$ 400.00 -$861 $S 100 $ 461.1i Variance $. Standard deviation S 5.87 6.52 7.25 7.97 8.77
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