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CIMAPRO19-P02-1 Exam - Topic 6 Question 57 Discussion

Which of the following correctly defines the expected value of a project?
A) The weighted average of the possible outcomes of the project.
B) The actual amount of incremental wealth that the project will generate.
C) The most likely amount of incremental wealth that the project will generate.
D) The present value of the positive cash flows that the project will generate.

CIMAPRO19-P02-1 Exam - Topic 6 Question 57 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam
Question #: 57
Topic #: 6
[All CIMAPRO19-P02-1 Questions]

Which of the following correctly defines the expected value of a project?

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Suggested Answer: A

by Devora at Aug 24, 2022, 05:04 PM

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Marge
10 months ago
Expected value is all about averages, so A makes sense!
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Blair
10 months ago
Wait, is D really part of expected value? That seems off.
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Leonor
10 months ago
C is misleading; it’s not just about the most likely outcome.
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Vanesa
11 months ago
I think B sounds more accurate, though.
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Fanny
11 months ago
A is definitely the right choice!
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Sena
11 months ago
I could be wrong, but I think expected value is more about the average of all possible outcomes, which makes me lean towards A again.
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Jeanice
11 months ago
Option C sounds tempting because it mentions the most likely amount, but I feel like that's not quite right for expected value.
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Sage
11 months ago
I remember practicing a question similar to this, and I think the expected value is more about probabilities rather than just the actual wealth generated.
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Joanna
11 months ago
I think the expected value is related to the weighted average of outcomes, so maybe option A? But I'm not entirely sure.
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Hester
11 months ago
The splunkd.log file sounds like a good bet to me. That's where Splunk logs a lot of its internal operations, so if there were any issues with a regular expression not working as expected, I'd expect to see that recorded there. Worth taking a close look.
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Wenona
11 months ago
Okay, the key here is to identify the right function to generate the link. I'm going to carefully review each option and think about which one matches the requirements.
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Donette
11 months ago
I remember we did a similar question about ratings, and I feel like C ratings definitely fall into speculative territory.
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