Answer the following questions:

A. Given Alternative A and Alternative B depicted in the cash flow diagrams, based on the time value of money principle, which is the preferred alternative? Why?

B.If you invest $4,300 three years from now, how much will be in the account 20 years from now if i = 10% annually?

C. The cash flow profile for an investment is given below and the interest rate is 6.5% annually. Find the net present worth of this series using the actual cash flows.

D. You are in charge of planning and coordinating next springs sales management training program for your company. You listed the following activity information for this project. 1. Draw a project network 2. What are the critical activities (critical path) and what is the expected project completion time?

Question 1 Given Alternative A and Alternative B depicted in the cash flow diagrams, based on the time value of money principle, which is the preferred alternative? Why? Alternative A $2,500 $4,000 End of Year $4,000 $2,500 $4,000 Alternative B End of Year $4,000 Question 2: If you invest $4,300 three years from now, how much will be in the account 20 years from now if i = 10% annually? Question 3: The cash flow profile for an investment is given below and the interest rate is 6.5% annually. End of Year Net Cash Flow End of Year SO -$500 $200 $400 Net Cash Flow -$300 $500 -$200 $100 Find the net present worth of this series using the actual cash flows. Question 4: You are in charge of planning and coordinating next spring's sales management training program for your company. You listed the following activity information for this project. Time (weeks) Immediate Predecessor Optimistic Most Probable Pessimistic Activity Description 1.5 2.0 2.0 2.5 6.0 3.0 Plan topic B Obtain speakers List meeting locations Select location Finalize speaker travel plans Make final check with speakers Prepare and mail brochure Take reservations Handle last-minute details 2.0 2.0 1.0 2.0 3.5 4.0 2.0 1.5 0.5 B, D B, D F, H 3.0 3.0 1.5 1.5 3.0 7.0 5.0 a) Draw a project network b) What are the critical activities (critical path) and what is the expected project completion time