Relationship between future value and present valuelong dashMixed streamUsing the information in the accompanying table, Year (t) Cash flow 1 $700 2 $800 3 $1,100 4 $1,500 5 $2,000 answer the questions that follow. a.Determine the present value of the mixed stream of cash flows using a 5% discount rate. b.How much would you be willing to pay for an opportunity to buy this stream, assuming that you can at best earn 5% on your investments? c.What effect, if any, would a 7% rather than a 5% opportunity cost have on your analysis? The present value of the mixed stream of cash flows using a 5% discount rate is $ . (Round to the nearest cent.) b.The amount you would be willing to pay for an opportunity to buy this stream, assuming that you can at best earn 5% on your investments, is $ . (Round to the nearest cent.) c.What effect, if any, would a 7% rather than a 5% opportunity cost have on your analysis?(Select from the drop-down menu.) A discount rate of 7% will cause the present value of the cash flow stream to be equal to lower than greater than the present value obtained with a discount rate of 5%.