Standard deviation of the rate of return on this investment

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1. As you consider the time value and market value how would this influence your decisions as a financila manager? How would you use this knowledge to provide information for your strategic financial decisions?

2. You just won the lottery! As your prize you will receive $818a month for 105 months. If you can earn 19% (APR) on your money, what is this prize worth to you today?

3. A project has a 0.68 chance of doubling your investment in a year and a 0.32 chance of halving your investment in a year. What is the standard deviation of the rate of return on this investment? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Reference no: EM131973075

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