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  3. 2. consider a two-year project with a 50% chance o

2. Consider a two-year project with a 50% chance of success and failure. If successful,...

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Accounting

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2. Consider a two-year project with a 50% chance of success and failure. If successful, the project generates 100 per year, if not it generates 20 per year. The project requires an initial investment of 50 and the discount rate is 10%. (a) What is the expected NPV? (b) What is the probability that NPV

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