Brief: You have been employed to provide a comprehensive analysis and discussion on a number of investment scenarios provided by your client. As the client has little knowledge of finance, it is your responsibility to provide the theoretical and mathematical calculations for the investment(s) they provide and the theoretical questions they pose. Background: Your client, whom you are writing the report for, is a pathologist by profession. She has two children - aged 5 and 3, with a steady income. Her knowledge of financial theory and financial mathematics is almost non-existent. She and her partner) is in a position to invest into sound investments for both short-term and long-term returns. She has done some research and has found a number of investments that she wishes to have analysed. As such, you do not have to search for viable investments for her. You also note that she wishes to invest into securities for retirement, with only the viability of the investment(s) should be considered in this report. Lastly, as we do not know her and her partners) financial position, it is impossible to know how many of these investments they can purchase / invest. Therefore, you are expected to provide advice on each investment in isolation from the other investments, i.e. not as a portfolio of investments. Clients Financial Questions: (25 marks) Can an individual be indifferent to receiving a dollar now or a dollar one year from now? Explain. (5 marks) What is an opportunity cost? Why is it such an important concept in finance? Explain with examples. (6 marks) How does maximising the price of a firm's share equate to maximising shareholder wealth? (4 marks) A security exists that promises to pay $300 in one year's time. If the market rate of interest is 20% p.a. and the security is for sale for $200, what would you do and why? Ultimately, what would you expect to happen? Demonstrate with examples