Answer:
50.59%
Explanation:
the project will have two outcomes:
35% chance of yielding 2
65% chance of yielding 0.5
the expected value = 1.025
the variance = {[0.35 x (2 - 1.205)²] + [0.65 x (0.5 - 1.205)²]} / 2 = (0.3327 + 0.1792) / 2 = 0.25595
the standard deviation = √0.25595 = 0.5059 = 50.59%
