A Project's Cash Flows Have a Beta of 1

question 11

Multiple Choice

A project's cash flows have a beta of 1.2, a standard deviation of $340, and a coefficient of variation of 0.40. What is the expected cash flow?

• A) $850
• B) $167
• C) $2,400
• D) $500

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Definitions:

Creative Problem Solvers

Individuals or groups who use innovative and imaginative approaches to finding solutions for complex issues or challenges.

Planning

Establishing a broad outline for goals, policies, and procedures that will accomplish the objectives of the organization.

Sales Call

A sales call is a communication attempt, either face-to-face or via telephone, made by a salesperson to pitch a product or service to a potential customer.