0 0.6 Assignment 12: Chapter 12 End-of-Chapter Problems The Butler Pricing Company (BPC) must decid between twa mutually exclusive projects. Each project has an initial after-tax cash outflow of $6,500 and has an expected life of 3 years, Annual project after-tax cash flows begin 1 year after the initial investment and are subject to the following probability distributions: Project A Project B Probability Cash Flows Probability Cash Flows 0.2 $6,000 0.2 $ 0.6 6,500 6,500 0.2 7,000 0.2 19,000 BPC has decided to evaluate the riskler project at 12% and the less-risky project at 99 a. What is each project's expected annual after-tax cash flow? Round your answers to the nearest cent. Project A Project B: Project B's standard deviation (Os) is $6,165 and its coefficient of variation (CV) is 0.80. What are the values of an and CV.? Do not round intermediate calculations, Round your answer for standard deviation to the nearest cent and for coefficient of variation to two decimal places CA CVA 6. Based on the risk-adjusted NPVs, which project should BPC choose? -Select- c. If you knew that Project B's cash flows were negatively correlated with the firm's other cash flows, but Project A's cash flows were positively correlated, how might this affect the decision? -Select- If Project By cash flows were negatively correlated with gross domestic product (GDP), while A's cash flows were positively correlated, would that influence your risk assessment