You have a choice of accepting either two 5-year cash flow stream or single amounts. You may accept alternative A or B-either as cash flow stream or as single amount. At the end of five years, Alternative A will give you tk7800and Alternative B will give you tk8200 . Assuming the opportunity cost is 8.5% compare the following cash flows of both options with their single amounts:

Alternative A		Alternative B
End of year	Cash flow	Beginning of Year	Cash flow
1	tk780	1	tk750
2	780	2	720
3	780	3	720
4	780	4	750
5	780	5	750

1. If you consider alternative A, shall you go for the single amount? Why or why not?
2. If you consider alternative B, shall you go for single amount? Why or why not?
3. Between alternatives A and B, which one is acceptable for you? Why? [15 Marks]