$**$See Instructions @ Bottom$**$

The contractor's construction expenses and owner's payments for a construction project are

expressed in then$-$current inflated dollars in the table below. The monthly interest rate

required by the bank is $1\mathrm{.}3$ percent regardless of inflation. Suppose that the work is stopped

for two months at the end of month $5$ due to a labor strike while the monthly inflation rate

is $0\mathrm{.}7$ percent. Under the terms of the contract between the owner and the contractor,

suppose that the owner's payments will be delayed but not adjusted for inflation. Find the

cumulative net cash flow with interest due to overdrafting for the following conditions:

$($a$)$ if there were no labor strike and $($b$)$ when there is a strike for two months at the end of

month $5.$

$**$Instructions$**$

Calculate :

$*$The Cumulative Cash Flow Before Payment$=$Ft

$*$The Cumulative Net Cash Flow $=$Nt

Calculate:

$*$Annual Interest

$*$Cumulative Cash Flow Before Payment Ft with interest

$*$Cumulative Net Cash Flow with interest

$*$All Calculations For All $14$ Periods Must Be Shown I Need to Verify my calculations