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juin [17]
3 years ago
15

Mountain Ski Corp. was set up to take large risks and is willing to take the greatest risk possible. Lakeway Train Co. is more t

ypical of the average corporation and is risk-averse.
Projects Returns:
Expected Value Standard
Deviation
A $ 527,000 $ 834,000
B 682,000 306,000
C 74,000 135,000
D 140,000 89,000

a-1. Compute the coefficients of variation. (Round your answers to 3 decimal places.)

Coefficient of
Variation
Project A
Project B
Project C
Project D

a-2. Which of the following four projects should Mountain Ski Corp. choose?


Project A
Project B
Project C
Project D

b.

Which one of the four projects should Lakeway Train Co. choose based on the same criteria of using the coefficient of variation?

Project A
Project B
Project C
Project D
Mathematics
1 answer:
nasty-shy [4]3 years ago
7 0
A-2: Project D.

b: Project A.

Not sure about a-1, hope I helped.
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