Question: With a project facing a risky future, its managers have identified four (4) possible initial costs for the project: $8M (million), $10M, $16M and $20M.

With a project facing a risky future, its managers have identified four (4) possible initial costs for the project: $8M (million), $10M, $16M and $20M.

If the 50th Monte Carlo simulation (trial) of project variables associates a random number of 0.551245 with the initial cost, the calculation of the project's net present worth (NPW) would be based on an initial cost of

$16 million

$10 million

$20 million

$8 million

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