1.Consider another uneven cash flow stream:

Year	Cash Flow (RM)
0	2,000
1	2,000
2	0
3	1,500
4	2,500
5	4,000

What is the present (Year 0) value of the cash flow stream if the opportunity cost rate is 10 percent?

What is the future (Year 5) value of the cash flow stream if the cash flows are invested in an account that pays 10 percent annually?

What cash flow today (Year 0), in lieu of the RM2,000 cash flow, would

be needed to accumulate RM20,000 at the end of Year 5? (Assume that the cash flows for Years 1 through 5 remain the same.)

Given the uneven streams of cash flows shown in the following table, answer parts (a) and (b):

End of Year	Cash Flow Stream (RM)
	A	B
1	50,000	10,000
2	40,000	20,000
3	30,000	30,000
4	20,000	40,000
5	10,000	50,000
Undiscounted Total	150,000	150,000

Find the present value of each stream, using a 15 percent discount rate.

Compare the calculated present values, and discuss them in light of the fact that the undiscounted total cash flows amount to RM150,000 in each case.