What is the expected cash flow value for Year 1, Year 2, and Year 3?

What is the standard deviation for Year 1, Year 2, and Year 3?

What is the mean NPV?

What is the standard deviation of possible NPVs under the perfect correlation assumption?

What is the probability of having an NPV of -200 million or less?

What is the probability of having an NPV of 50 million or more?

What is the probability of having an NPV of 1 million or more?

If the periods are independent of each other (no causative relationship), will the mean NPV have a higher or a lower standard deviation?

The DENR has decided to undertake a "white sand" beautification project in Manila Bay using crushed dolomite rocks. The initial investment for the project is 389 million pesos with a risk free rate of 10%. It is assumed that cash flows have a perfect correlation over time. Total distribution is approximately normal. In the following three years, the project is expected to invigorate tourism and yield to additional revenues as follows (shown in millions, e.g. ' 100 ' is 100 million)