Q1: a) Civil engineering consulting firms that provide services to outlying communities are vulnerable to a number of factors that affect the financial condition of the communities, such as bond issues, real estate developments, etc. A small consulting firm entered into a fixed- price contract with a spec home builder, resulting in a stable income of $395,000 per year in years 1 through 5. At the end of that time, a mild recession slowed the development, so the parties signed another contract for $160,000 per year for 3 more years. Determine the present worth of the two contracts at an interest rate of 13% per year. The present worth of the two contracts is determined to be $ b) What is the equivalent annual cost in years 1 through 11 of a contract that has a first cost of $76,000 in year O and annual costs of $16,000 in years 3 through 11? Use an interest rate of 12% per year. The equivalent annual cost is determined to be $