Refer to the cash flow diagram. What is the present worth, P, of the gradient cash flows? 600 A 500 400 300 4 200 0 1 2 5 3 4 i= 5% P=? O A. 200(PIA, 5%, 5) + 100(P/G, 5%, 5) OB. 600(P/A, 5%, 5) + 100(P/G, 5%, 5) OC. 600(PIA, 5%, 5) - 100(P/G, 5%, 5) OD. 200(P/A, 5%, 5) 100(P/G, 5%, 5) The cash flow diagram below represents estimated maintenance costs for a new equipment over its service life of 10 years. The maintenance costs start in year 4 because there is a 3-year manufacturer's warranty. Calculate the present worth, P, of the costs for an annual interest rate of 4%. AP= ? 0 1 2 3 4 5 6 ....... 10 2,200 2,300 2,400 2,800 O A. 2,800(P/A, 4%, 7)(P/F, 4%, 3) - 100(P/A, 4%, 7)(P/F, 4%, 3) O B. 2,200(PIA, 4%, 7)(P/F, 4%, 3) + 100(P/G, 4%, 7)(P/F, 4%, 3) OC. 2,200(PIA, 4%, 6)(P/F, 4%, 4) + 100(P/G, 4%, 6)(P/F, 4%, 4) O D. 2,200(P/F, 4%, 4) + 100(P/G, 4%, 6)(P/F, 4%, 4) Calculate the present worth P of the anuual depostis as shown in the cash flow diagram below 10 1 2 3 ............... 12 13 14 15 16 17 ............. A1 = $2,000 A2 = $3,000 O A. 3,000(P/A, I, 5) - 2,000(P/A, I, 12) O B. 2,000(P/A, I, 12) + 3,000(P/A, 1, 5) O C. 3,000(P/A, I, 17) - 1,000(PIA, I, 12) OD. 2,000(PIA, I, 17) + 1,000(PIA, 1, 5)