Are you able to find the expected npv for the above projects

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Question - Telluride Tours is currently evaluating two mutually exclusive investments. After doing a scenario analysis and applying probabilities to each scenario, it has determined that the investments have the following distributions around the expected NPVs:

Probability

NPV Project A

NPV Project B

10%

$-39,780

$-14,918

20%

$-9,945

$2,486

40%

$19,890

$19,890

20%

$49,725

$37,294

10%

$79,560

$54,698

Are you able to find the expected NPV for the above projects? If so, how? Or what other information is needed?

How would you calculate the variance, standard deviation, and coefficient of variation of the NPV of each project?

How would you calculate the probability of a negative NPV of each project?

Reference no: EM133042554

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