A Project with a 3-Year Life Has the Following Probability

question 5

Multiple Choice

A project with a 3-year life has the following probability distributions for possible end of year cash flows in each of the next three years: Using an interest rate of 8 percent, find the expected present value of these uncertain cash flows.(Hint: Find the expected cash flow in each year, then evaluate those cash flows.)

• A) $1,204.95
• B) $835.42
• C) $1,519.21
• D) $1,580.00
• E) $1,347.61

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Definitions:

Harry Braverman

A Marxist scholar known for his work on labor and the degradation of work in capitalist societies, highlighting the separation of conception and execution in the labor process.

White-Collar Workers

Employees performing professional, managerial, or administrative work, typically characterized by higher education levels, office settings, and non-manual labor.

Bourgeois Exploitation

The economic and social exploitation of the working class by the capitalist class (bourgeoisie), as theorized in Marxist analysis, where the value produced by labor is appropriated by the owners of capital.

Functionalism

A sociological theory that emphasizes the interdependence of all parts of a society and how those parts work together to maintain stability.