Question: Flextire Manufacturing is considering two mutually exclusive proposals. Each will cost $80,000 and will last 6 years. Cash flows and estimated probabilities are presented below.

"Flextire Manufacturing is considering two mutually exclusive proposals. Each will cost $80,000 and will last 6 years. Cash flows and estimated probabilities are presented below. Based on a MARR of 10%, Calculate the risk associated with Proposal B. "

Benefits per year	Probability
$17,500	0.4
20,500	0.35
23,000	0.25

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