Two projects, call then A and B, have different initial investment costs and probable cash flows for each of their five year lifetimes. Risk-free rate of return on capital is 12% annually. The following table shows the relevant details.

Project	A	B
Initial Investment (p=1)	$ 150,000	$180,000
Annual cash flows (Years 1 to 5) and associated probability p of occurrence	$ 35,000 (p=0.3)	$ 45,000 (p=0.3)
(Assume each annual cash flow to be mutually independent)	$ 40,000 (p=0.5)	$ 55,000 (p=0.5)
	$ 50,000 (p=0.2)	$ 67,000 (p=0.2)

a. What is the expected annual cash flow for project A for year 1? Express your answers as integer dollars.

b. What is the standard deviation for the annual cash flows for Project A for year 2? (Express your answer to 2 decimal places.)

c. Determine the probability that Project A's Present worth would be not acceptable. Express probabilities in four decimal places.

d. Determine the standard deviation of the probable Net present value for Project A. Assume mutual independence of each year's estimates.

e. What is the expected value of Net Present value of Project A using 12% annual rate of risk-free capital? Give your answers to 2 decimal places.

f. Determine the standard deviation of the expected net present value for project B? Assume independence of each year's variable cash flow. Express your answers to two decimal places.

g. What is the expected Net present dollar value for Project B at using a risk free annual rate of 12%? Express your answers to 2 decimal places