Questions by uyost - Page 16
2. There is a new game at the carnival In a prize box there are 15 balls:7 are red,1 is green 3 are black,and 4 are gold.If you draw a red ball,you win nothing.If you draw a green ball,you win $3.If you draw a black ball.you win $5.And if you draw the gold ball,you win $10.It costs$5to play. a.4 pts Complete the probability distribution for the player's NET winnings. Outcome Red Net Winnings Probability Green Black Gold b.3 pts Determine the expected net winnings for the player,and explain what this means. 3. A casino game consists of placing a $8 betthen rolling two 6-sided dice.If the sum of the dice is at least 9.the player wins back their $8 bet back plus another $5.Otherwise,the player loses their$8 a,4 pts) Create the probability distribution(i.e,table relative to the casino. b.3 pts Determine the expected value,relative to the casino and explain what this value means in a complete sentence,
Porcelain Computer Company is considered purchasing two different types of servers. Server A will generate net cash inflows of $26,000 per year and have zero residual value. Server's A's estimated useful life is three years, and it costs $42,000.Server B will generate net cash inflows of $27,000 in year 1, $14,000 in year 2, and $1,000 in year 3. Server B has a $4,000 residual value and an estimated useful life of three years. Server B also costs $42,000. Porcelain Computer Company's required rate of return is 12%.Calculate the accounting rate of return (ARR) for both server investments.Server A __________ /______= ____ %Server B __________ /______= ____ %Calculate the net present value for both server investments.Server A= $____Server B= $____Calculate the internet rate of return (IRR) for both server investments.Server A= ___%Server B=_____%