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i 1 * * = 7 . 4 7 % , i 2 * * = 4 1 . 3 5 % The engineering design

i1**=7.47%,i2**=41.35%The engineering design and testing group for Honda Motor Corp. does contract-based work for
automobile manufacturers throughout the world. During the last 3 years, the net cash flows for
contract payments have varied widely, as shown below, primarily due to a large manufacturer's
inability to pay its contract fee.
(a) Determine the maximum number of i** values that may satisfy the ROR equation.
(b) Write the PW equation and approximate the i** value(s) by plotting PW vs i.
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