Question: Explain why the answer to exercise 11.5 differs from the answer in Example 11.2. Assume that Marriotts restaurant division has the following joint distribution with

Explain why the answer to exercise 11.5 differs from the answer in Example 11.2.

Assume that Marriott’s restaurant division has the following joint distribution with the market return:AppendixLO1 Market Scenario Probability Market Return (%) Year 1 Restaurant Cash Flow Forecast

Market Scenario Probability Market Return (%) Year 1 Restaurant Cash Flow Forecast Bad .25 -15 $40 million Good .50 5 $50 million Great .25 25 $60 million

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