Question: You have estimated the expected NPV from a project to be $3,000,000 with a standard deviation of $4,000,000. The distribution of the possible NPVs is

You have estimated the expected NPV from a project to be $3,000,000 with a standard deviation of $4,000,000. The of the possible NPVs is approximately normal. If you are willing to accept a 25 percent chance of incurring a negative NPV on the project, should it be undertaken?

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