Burger Corporation has potential cash inflows of $16,000, $20,000 and $6,000 for three years at end of each year. The financial analyst of the corporation is uncertain about the timing of cash inflows but anticipated that there is a 50% probability to receive cash for year 1, 35% for year 2 and 15% for year 3. The following data is made available to determine expected cash flows for Burger Corporation. Risk free investment rate: 10%. Present value (PV) factors at risk free investment rate of 10% are: PV of $1 at 10% for year 1: 0.91. PV of $1 at 10% for year 2: 0.83. PV of $1 at 10% for year 3: 0.75. Expected cash flows are: $13,765 $15,900 $35,660 $42,000

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