Question: 6. Based on historic data, we can break the prospects for the Store in Store concept into 4 scenarios. These can be described as
6. Based on historic data, we can break the prospects for the Store in Store concept into 4 scenarios. These can be described as follows: Probability Customers per year (K) Customer bill per visit ($) Other VC as percentage of Sales Exceptional 15% 105 17.00 47.0% Average 55% 105 15.00 46.0% Slow 20% 90 11.00 45.0% Poor 10% 85 10.00 45.0% 100% All other inputs are the same as the original assumptions. a. What is the expected NPV of the Store in Store concept? b. What is the expected IRR of the Store in Store concept? c. What is the standard deviation of NPV of the Store in Store concept?
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