Which of the following scenarios carries the greatest risk of NOT being able to meet required payments (capital expenditure, dividend, interest and principal requirements) totaling $96 million?
A) Expected cash flow, $116 million, standard deviation $5 million
B) Expected cash flow, $107 million, standard deviation $5.5 million
C) Expected cash flow, $112 million, standard deviation $8 million
D) Expected cash flow, $134 million, standard deviation $38 million
Answer: D
Business