Practical Management Science
Practical Management Science
6th Edition
ISBN: 9781337671989
Author: WINSTON
Publisher: Cengage
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Chapter 9.2, Problem 1P

a)

Summary Introduction

To determine: The worst possible outcome for each decision.

Introduction: The variation between the present value of the cash outflows and the present value of the cash inflows are known as the Net Present Value (NPV).

b)

Summary Introduction

To determine: The best possible outcome for each decision.

Introduction: The variation between the present value of the cash outflows and the present value of the cash inflows are known as the Net Present Value (NPV).

c)

Summary Introduction

To determine: The variance of the distribution of the outcomes.

Introduction: The variation between the present value of the cash outflows and the present value of the cash inflows are known as the Net Present Value (NPV).

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