A robot has just been installed at a cost of 81000 it will, Business Economics

A robot has just been installed at a cost of 81000 it will

A robot has just been installed at a cost of $81,000. It will have no salvage value at the end of its useful life

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(a) What is the joint probability distribution for savings per year and useful life?

(b) Define optimistic, most likely, and pessimistic scenarios by using both optimistic, both most likely, and both pessimistic estimates. What is the rate of return for each scenario?

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Business Economics: A robot has just been installed at a cost of 81000 it will

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