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Compute the expected annual cash flow

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Reference no: EM133076169

Mitchell auto parts has estimated the probability distribution of its annual net cash flows as follows:

Probability Cash Flows (in thousands of dollars)

.10 $1000

.20 $1500

.40 $2000

.20 $2500

.10 $3000

a) Compute the expected annual cash flow

b) Compute the standard deviation of annual cash flows

c) Compute the coefficient of variation of annual cash flows

Reference no: EM133076169

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