Question: How does calculating expected value help us address the variance in NPVs an investment may have? What is perpetuity and how is it different from

  1. How does calculating expected value help us address the variance in NPVs an investment may have?
  2. What is perpetuity and how is it different from an annuity?
  3. How does diversification help us reduce and manage risk?
  4. How does a corporation manage risk by having different divisions?

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