Return on Software: Maximizing the Return on Your Software Investment

Self-Study Questions

1.	The AE(MARR) of the outcomes and their probabilities for the Uinta project at Mountain Systems Western Division are shown in the following table.   Least- Favorable Outcome Fair Outcome Most-Favorable Outcome AE(MARR) –$2166 $2008 $6124 Probability of outcome 20% 55% 25% What is the expected value of this project?
2.	The AE(MARR) of the outcomes and their probabilities for the Wasatch project at Mountain Systems Western Division are shown in the following table.   Least- Favorable Outcome Low Nominal Outcome High Nominal Outcome Most- Favorable Outcome AE(MARR) –$16,455 –$1216 $14,211 $18,578 Probability of outcome 20% 30% 40% 10% What is the expected value of this project?
3.	The proposed Chardonnay project at Bay Laboratories has an initial investment ...