A Firm Is Considering Two Projects,A and B,with the Following

question 34

Multiple Choice

A firm is considering two projects,A and B,with the following probability distributions for profit. $$\begin{array} { c c c } \begin{array} { c } \text { Prafit } \\\text { (\$1,000s) }\end{array} & \begin{array} { c } \text { Praject } A \\\text { Prabability } ( \% ) \end{array} & \begin{array} { c } \text { Project } B \\\text { Prabability } ( \% ) \end{array} \\\hline \$ 20 & 10 & 10 \\40 & 15 & 15 \\60 & 50 & 25 \\80 & 15 & 40 \\100 & 10 & 10\end{array}$$ Given the above,the variance of project A is

• A)7.07
• B)50
• C)440
• D)4,000
• E)380

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Definitions:

Corporate Social Responsibility (CSR)

A company framework that includes social and environmental considerations within its operational activities and engagements with stakeholder groups.

Quantitative Measurements

The process of determining the quantity, amount, or range of something as established by numerical values.

Qualitative Measurements

The assessment of characteristics, attributes, or properties by means of subjective judgments or observations rather than by numerical measurements.

Corporate Social Responsibility

A strategy in business that supports sustainable growth by providing economic, societal, and ecological advantages to every stakeholder involved.