Consider the cash flow series in the following table: Year t 1 2 3 Cash Flow s 3,900 3,600 4,100 Assume that the average annual discount rates are as follows: 5% for year one, 8% for year two and 11% for year three. 11.

What is the present value of the year 1 cash flow of 3,900? A 3,714.29 B 4,095 C 3,900 (2 Marks) 12.

What is the present value of the year 2 cash flow of 3,600? A 3,600 B 3,174.60 C 3,086.42 (3 Marks) 13.

What is the present value of the year 3 cash flow of 4,100? A 3,257.23 B 2,997.88 C 4,100 (4 Marks) 14. What is the present value of this