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5. Cash Flow: (a) Sketch and briefly explain the general trend of a typical S-Curve. (b) The cash flow diagram for a small project

5. Cash Flow: (a) Sketch and briefly explain the general trend of a typical S-Curve. (b) The cash flow diagram for a small project is shown. Estimate the amount of interest charged on borrowed money using an interest rate of 1% per month. Also, Estimate the highest amount of cash needed. Briefly discuss how a down payment can reduce interest charges. Cost ($) 20 Thousands 50 40 30 60 Cash Out Payment Received 10 0 0 2 3 4 5 6 7 8 Months

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