What is the expected pw the expansion costs

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Assume that the pessimistic and optimistic estimates in Problem 10-6 have 40% and 20% probabilities, respectively.

(a) What is the expected PW the expansion costs?

(b ) What is the expected number of years until the expansion?

(c ) What is PW of the expansion cost using the expected number of years until the expansion?

(d ) Do your answers to (a) and (c) match? If not, why not?

Reference no: EM131809559

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