Question: HW Decision Trees and Real Option Analysis Decision Tree Analysis 1. You investigate a problem and create the following decision tree. The discount rate is

 HW Decision Trees and Real Option Analysis Decision Tree Analysis 1.

HW Decision Trees and Real Option Analysis Decision Tree Analysis 1. You investigate a problem and create the following decision tree. The discount rate is 10% per year. What is the NPV of the project? | yr = 0 yr = 1 yr = 2 06 500 100 0.55 0.4 250 -175 0.6 450 0.45 20 0.4 2 225

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