WHOEVER DOES IT, PLEASE GIVE A BRIEF CALCULATIONS/ EXPLANATION OF HOW YOU FIND ANSWERS OF THE 1.1, 1.2 AND 1.3. 100% ACCURACY REQUIRED PLEASE

1.1 Which alternative would you choose to invest $1000 if you want to maximize your NPV. Your interest rate is 10% and your payments are received at the end of the period?

a) Invest $1000 and receive one payment of $2400 in year 5.

b) Invest $1000 and receive annual installments of $100, $200,$300,$400,$1200.

c) Invest $1000 and receive $400 per year for 5 years. Invest $1000 and receive

d) annual installments of $100, $250,$400,$550,$700.

1.2: Consider the decision tree below (figures are in $1000s), if Kourtney can double her current chances to get a high offer at the job fair she should

a) Accept the ABC offer (it's a sure thing)

b) Reject the ABC offer in favor of EMV of $86 vs accepting the ABC offer)

c) Reject the ABC offer in favor of EMV of $96 vs accepting the ABC offer.

d) Reject both offers and just go to the job fair.

1.3: Answer the following questions based on the decision tree below (figures are in $1,000s). What is the EMV for the Job fair alternative?

Use same decision tree as in 1.2

a) Approximately $76

b) Approximately $80

c) Approximately $74

d) Approximately $78

1.4: The elements of a decision problem are:

1) The values of the stakeholder in the decision.

2) The number of stakeholders in the decision.

3) The stakeholder demographics (age, education, socioeconomic status, etc.).

4) The objectives of the stakeholders in the decision

a) 2 and 4

b) 1 and 4

c) 1, 2 and 4

d) All of above

1.5: Decisions are hard because

1) The the situation has important consequences to consider.

2) The situation has uncertainty.

3) The situation may have more than one perspective.

4) Calculating NPV for the situation is difficult.

a) 2, 3 and 4

b) 2 and 3

c) 1, 2 and 3

d) All of above

Accept ABC Offer Kourtney's New Job Accept or Reject ABC Offer $80 0.0% $80 Offer from 123 Accept 123 Offer 50.0% 590 $90 50.0% Acccept or Reject 123 Offer 0 High Offer 10.0% $130 Reject 123 Offer Job Fair Low Offer 90.0% $70 0.0% $130 0% $70 Reject ABC Offer High Offer 10.0% $130 5.0% $130 No Offer From 123 50.0% Job Fair Low Offer 90.0% $70 45.0% $70 Accept ABC Offer Kourtney's New Job Accept or Reject ABC Offer $80 0.0% $80 Offer from 123 Accept 123 Offer 50.0% 590 $90 50.0% Acccept or Reject 123 Offer 0 High Offer 10.0% $130 Reject 123 Offer Job Fair Low Offer 90.0% $70 0.0% $130 0% $70 Reject ABC Offer High Offer 10.0% $130 5.0% $130 No Offer From 123 50.0% Job Fair Low Offer 90.0% $70 45.0% $70