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
