Question: please circle each final answer Your engineering firm would like to open up a new division of engineering services. The potential cash flow is shown
please circle each final answer

Your engineering firm would like to open up a new division of engineering services. The potential cash flow is shown below. Generate 1000 Monte Carlo simulation trials for present worth. Calculate the mean, standard deviation, and probability of loss for the trials. MARR = 15% Useful life = 8 Initial investment = $250,000 Annual profits is normally distributed with a mean of $100,000 and standard deviation of $30,000. (Model this probability once for the entire useful life). Salvage value has a 50% chance of being $35,000; and 50% chance of no salvage. a. Mean Present Worth =$ b. Standard Deviation = $ c. Probability of Loss = 1% Your engineering firm would like to open up a new division of engineering services. The potential cash flow is shown below. Generate 1000 Monte Carlo simulation trials for present worth. Calculate the mean, standard deviation, and probability of loss for the trials. MARR = 15% Useful life = 8 Initial investment = $250,000 Annual profits is normally distributed with a mean of $100,000 and standard deviation of $30,000. (Model this probability once for the entire useful life). Salvage value has a 50% chance of being $35,000; and 50% chance of no salvage. a. Mean Present Worth =$ b. Standard Deviation = $ c. Probability of Loss = 1%
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