Standard deviation for every project, Financial Management

AOT limited is considering two mutually exclusive projects - cable and satellite.  The possible NPVs for every project and their associated probabilities are as follows:

Cable:                                                  Satellite:

NPV ($'000)   Probability                   NPV ($'000)   Probability

10                    10%                             15                    60%

20                    50%                             20                    20%                

25                    40%                             40                    20%

 

Determine the standard deviation for every project.  Which project has the higher level of risk?

 

Posted Date: 3/22/2013 1:36:30 AM | Location : United States







Related Discussions:- Standard deviation for every project, Assignment Help, Ask Question on Standard deviation for every project, Get Answer, Expert's Help, Standard deviation for every project Discussions

Write discussion on Standard deviation for every project
Your posts are moderated
Related Questions
Q. What is Adjusted Basis? Adjusted Basis - After a taxpayer's basis in property is determined, it should be adjusted upwardto include any additions of capital to the property

Is the difference between the market value of the shares (capitalization) and their book value a good measure for the value creation in a company since its foundation? Value cr

State about the Manufacturing overseas or exporting Dyson (appliances manufacturer) relocated UK production to Malaysia in 2002 though still retained its head office within the

In bootstrapping method, on-the-run treasury issues are used as they are fairly priced, and there is no credit risk or liquidity risk involved. In practice observed yie

I need this in the next 24 hours urgently. If you can accept this, you must be meeting the deadline with strictly no delays or full payment refund is needed

how is financial management relevant to profit and loss?

Market Capitalization : Often referred to as market cap, it refers to the value of a company, that is, the market worth of its outstanding shares. A common misconception is that

Operational Rules for Financial Management Besides features, certain operational rules are established as to the subsequent: 1) While revenue and expenses are reported;

Explain about the debt policy Designing debt policy the debt policy of a firm is significantly influenced by the cost consideration. In designing financing policy, that is, p

Principal repayment before the scheduled date is called a prepayment. Every individual borrower normally has the option to pay off all or part of their loan