Evaluate the three projects by using the Mean-semi-variance approach ( b =5),and give recommendations for the airport.
Fantastic news! We've Found the answer you've been seeking!
Question:
- Evaluate the three projects by using the Mean-semi-variance approach (b=5), and give recommendations for the airport.
The possibility of each scenario is shown in Table 1. The detailed cash inflows and cash outflows of the three projects under each scenario are shown in Table 2, Table 3, and Table 4. All the cash flows are in billion USD. Assume the discount rate is 10% per year. Please complete the following tasks, and show your calculation steps. The numbers shall keep two decimals in this assignment. (10%)
Transcribed Image Text:
21 Page Project 1 Scenario 1 Scenario 2 Scenario 3 Scenario 4 1 2 3 4 5 Project 1 Scenario 1 Cash Cash Year inflow outflow 0 0 -100 30 30 30 30 30 Possibility 0.3 0.1 0.2 0.4 -5 -4 -2 -1 -1 Table 2. The detailed cash inflows and cash outflows of Project 1. Project 1 Scenario 2 Cash Cash outflow -120 1 Table 1. The possibility of each scenario. Year inflow 0 0 WN 2 Project 2 Scenario 1 Scenario 2 Scenario 3 Scenario 4 3 4 5 40 40 50 35 30 Possibility 0.1 0.6 0.3 0 -5 -5 -5 -5 -5 Project 1 Scenario 3 Cash Cash outflow -200 Year inflow 0 0 1 2 4 5 50 50 888 Project 3 Scenario 1 Scenario 2 Scenario 3 Scenario 4 Assignment for project investment management 50 50 50 Possibility 0 0.6 0.3 0.1 0 0 0 0 0 Project 1 Scenario 4 Cash Cash Year inflow outflow 0 0 -180 1 2 3 4 5 5 40 45 55 60 50 -3 -2 -1 0 0 21 Page Project 1 Scenario 1 Scenario 2 Scenario 3 Scenario 4 1 2 3 4 5 Project 1 Scenario 1 Cash Cash Year inflow outflow 0 0 -100 30 30 30 30 30 Possibility 0.3 0.1 0.2 0.4 -5 -4 -2 -1 -1 Table 2. The detailed cash inflows and cash outflows of Project 1. Project 1 Scenario 2 Cash Cash outflow -120 1 Table 1. The possibility of each scenario. Year inflow 0 0 WN 2 Project 2 Scenario 1 Scenario 2 Scenario 3 Scenario 4 3 4 5 40 40 50 35 30 Possibility 0.1 0.6 0.3 0 -5 -5 -5 -5 -5 Project 1 Scenario 3 Cash Cash outflow -200 Year inflow 0 0 1 2 4 5 50 50 888 Project 3 Scenario 1 Scenario 2 Scenario 3 Scenario 4 Assignment for project investment management 50 50 50 Possibility 0 0.6 0.3 0.1 0 0 0 0 0 Project 1 Scenario 4 Cash Cash Year inflow outflow 0 0 -180 1 2 3 4 5 5 40 45 55 60 50 -3 -2 -1 0 0
Expert Answer:
Answer rating: 100% (QA)
Evaluating Airport Projects with MeanSemivariance b5 Heres a complete breakdown of evaluating the three airport projects using the MeanSemivariance ap... View the full answer
Posted Date:
Students also viewed these computer network questions
-
The mean hourly manufacturing pay is shown in Table 15 for various years. Table 15 Mean Hourly Manufacturing Pay YearMean Hourly Pay (dollars) 19703.24 19807.15 199010.78 200014.32 201018.61...
-
The structural formula for acetic acid is shown in Table 16.2. Replacing hydrogen atoms on the carbon with chlorine atoms causes an increase in acidity, as follows: Formula a(25c) CH3COOH 1.810-5...
-
An ideal set of gears is shown in Table 2.5, item 10. Neglect the inertia and friction of the gears and assume that the work done by one gear is equal to that of the other. Derive the relationships...
-
Compute the indicated quantities for the given homomorphism. Ker () for : S 3 Z 2 in Example 13.3 Data from Example 13.3 Let S n be the symmetric group on n letters, and let : S n Z 2 be defined by...
-
Assume the role of a senior auditor on Genetech Corp, a large public corporation that performs evaluations of lab results submitted by physicians and hospitals. You have been assigned the task of...
-
For the phenol-formaldehyde (Bakelite) polymer, whose stress strain behavior may be observed in the "Tensile Tests" module of Virtual Materials Science and Engineering (VMSE), determine the...
-
List specific examples of a board not meeting the duties of care, loyalty, and obedience.
-
Sharon Smith, the financial manager for Barnett Corporation, wishes to evaluate three prospective investments: X, Y, and Z. Sharon will evaluate each of these investments to decide whether they are...
-
Find the z-scores that separates the middle 99 % of the distribution from the area in the tail of the standard normal distribution. First z-score = [ Note: If it did not work, try switching your...
-
In 1738, J. Bernoulli investigated the St. Petersburg paradox, which works as follows. You have the opportunity to play a game in which a fair coin is tossed repeatedly until it conies up heads. If...
-
You are one of the founders of ABC, an upcoming virtual reality (VR) headset manufacturing company located in Florida. You have been given $50,000,000 by a venture capital firm, this will allow you...
-
Find and simplify f (x + h). f(x)=3-4x
-
The market has the following supply: P = 0.6Q + 32 Demand in the same market is: P = -0.6Q + 101 Price is in ISK. a) What is the ideal position, the equilibrium position in the market? Price and...
-
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 96,000 units per year is: Direct materials Direct...
-
Objects A and B collide in an isolated system. The vector arrows represent the before- and after-collision momentum of objects A and B. Which vector represents the momentum of object B before the...
-
You are working in your kitchen preparing lunch for your family. You have decided to make egg salad sandwiches and are boiling six eggs, each of mass 60.2 g, in 0.850 L of water at 100C. You wish to...
-
Question 1 3 pts Specify the standard 3V belt length (from Table 7-2) that would be applied to two sheaves with pitch diameters of 5.25 in and 13.95 in with a center distance of less than or equal to...
-
Explain the term "Equivalent Units". Why are they calculated in process costing? [4 Marks] [minimum 350 words]
-
In what ways can management empower employees? What are the advantages of empowering employees?
-
Application of data analytics Indicate which type of data analytics, 1 through 4, is described in each of the following statements describing a data analytics application, \(a\) through \(h\). Data...
-
Access the Institute of Management Accountant's report titled "The Data Analytics Implementation Journey in Business and Finance," (https://www.imanet.org/...
Study smarter with the SolutionInn App