Consideration has a seven-year projected life

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A project under consideration has a seven-year projected life. The initial investment for the project is estimated to have a mean of $12,000 and a standard deviation of $1,000. The annual receipts are independent, with each year's expected return having a mean of $2,500 and a standard deviation of $300. MARR is 10 %. Decide the probability that the PW is negative.

Reference no: EM13686071

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