Given the table in Problem 6, assume that the cash flow estimates for each year are best represented by a triangular distribution and that the hurdle rate is 20 percent (a) Use Crystal Ball to find the expected NPV of the project (b) What is the probability that the project will yield a return grea...

Year Pessimistic Most Likely Optimistic Used PVIF PV 0 65000 65000 65000 65000 1 65000 1 14000 20000 ...

Given the table in Problem 6, assume that the cash flow estimates for each year are best

Question:

Given the table in Problem 6, assume that the cash flow estimates for each year are best represented by a triangular and that the hurdle rate is 20 percent.
(a) Use Crystal Ball® to find the expected NPV of the project.
(b) What is the probability that the project will yield a return greater than the 20 percent hurdle rate?

Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...