30 4 points The net present values for two investment projects for each of three states of the economy are summarised in the table below. Medium growth 10 Low or no growth 6 Possible state of the economy High growth Project 1 [m] 26 Project 2 [m] 12 The probabilities of the states of the economy for the duration of these projects are as follows: 9 5 High growth 0.3 Medium growth 0.5 Low or no growth 0.2 What is the expected net present value of Project 1? Calculate your answer correct to 1 decimal place. Type your answer... Previous Next