Sharon needs 250,000 to make improvements to her business. A ...

[lak]

Sharon needs 250,000 to make improvements to her business. A venture capitalist has offered to invest 75 percent of that sum if Sharon provides the rest. How much will Sharon need to provide herself?

Question 2

Your company has evaluated two alternative international opportunities. Each alternative has a risk profile. Alternative A has a 90 percent chance of revenue totaling 2.5 million; costs would be 2 million. Alternative B has a 75 percent chance of revenue totaling 2 million; costs would be 1.25 million. If you choose the least-risky alternative, and the opportunity works out the way you foresee, how much profit will your company make?

[mirabriestensky]

Answer to Question 1

62,500

Answer to Question 2

0.5 million
500,000

[lak]

Wow, this really help

[yeungji]

Thanks for the timely response, appreciate it