6. Assume that you and your best friend each have $1,000 to invest. You invest your money in an account that pays 10% per year compound annually. Your friend invests his money in an account that pays 10% per year simple interest. At the end of 1 year, the difference in the total amount for each of you is: (2) a) You have $10 more than he does b) You have $100 more than he does c) You both have the same amount of money d) He has $10 more than you do 7. The decision of a bond issuing agency as to whether it should issue term bonds or a serial bonds is dependent on what factor? (2) 8. The relationship for finding the minimum cost of an engineering work where some costs are directly proportional (A) and other costs are inversely proportional (B) to a common variable (x) is: (2) a) (A + B)% b) (A-B)* c) (A/B) d) (B/A) e) None of the above 9. Comparing the present worth of three alternatives, with life cycles of 85, 90 and 95 years, what service life would you use for the analysis, and why? (4)