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2 years ago

A company intends to market a new product and it estimates that there is a 20% chance that it will be first in the market

Engineering

1 answer:

Stells [14]2 years ago

4 0

The EMV - Ending Market Value is given as:
$2,400,000.

<h3>How is the EMV Arrived At?</h3>

The EMV is given as:

BMV x (i + r); Where

BMV is the Beginning Market Value; and

r is the interest rateor percentage given.

Hence the EMV = 2,000,000 x ( 1 + 20%)

= 2,000,000 x 1.2

= $ 2, 400,000.

It is to be noted that the BMV is the Beginning Market Value which is the value of an investment at the start of the business period.

Learn more about Market Value at:

brainly.com/question/1350233

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