134 PART 2 Fixed Income Securities : An Introduction to Valuation MINI CASE STUDY Assume that you are nearing graduation and have applied for a job with a local bank. The bank's evaluation process requires you to take an examination that covers several financial analysis techniques. The first section of the test addresses DCF analysis. See how you would do by answering the following questions. a. Draw time lines for (1) a 100 lump sum cash flow at the end of Year 2, (2) an ordinary annuity of 100 per year for 3 years, and (3) an uneven cash flow stream of 50, 100, 75 and 50 at the end of Years O to 3. b. (1) What's the future value of an initial 100 after 3 years if it is invested in an account paying 10 per cent annual interest?