A new products chief uncertainty is its annual net revenue. The initial investment in the product is $550,000. The firms interest rate is 10%. What is the expected PV and standard deviation of the net revenue?
Pessimistic Probability-0.35 Net revenue-$35,000 Life (in years)-6
Most likely Probability-0.45 Net revenue-$50,000 Life (in years)-8
Optimistic Probability-0.2 Net revenue-$75,000 Life (in years)-10
![A new products chief uncertainty is its annual net revenue The initial investment in the product is 550000 The firms interest rate is 10 What is the expected PV class=](https://us-static.z-dn.net/files/daf/d3caf86999221ff9eff7b7838fb164f7.png)