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You are considering two investment options. In Option A, you have to invest $5,000 now and $1,100 three years from now in option B, you

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You are considering two investment options. In Option A, you have to invest $5,000 now and $1,100 three years from now in option B, you have to invest $3,600 now, $800 a year from now, and $1,100 three years from now in both options, you will receive four annual payments of $2,400 each. (You will get the fast payment a year from now.) Which of these options would you choose based on the present worth criterion, assuming 10% interest? Assume that all cash flows occur at the end of the year. Option A Option H Neither of these options indifferent, decision doesn't matter The manager of a library is considering the purchase of some new automatic booking machine. Two different suppliers have provided quotations. An analysis of the quotations indicates the following: The equipment of both suppliers is expected to perform at the desired level (fixed) of output. For a five-year analysis period, which supplier's equipment should be selected? Assume 7% interest and equal costs. Supplier A Supplier B No Difference Information is not enough

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