Homework Solution: Consider the graph below….

    Consider the graph below. Optimal Path.PNG Suppose that the discount factor is 0.75. Assume that cash flows occur at the beginning of periods. What is the optimal present value for the initial node A? (Keep your answer to 2 decimal places. e.g. xx.12.)

    Expert Answer

    Consider the graph underneath.

    Optimal Path.PNG

    Suppose that the allowance element is 0.75. Assume that specie flows happen at the beginning of periods.

    What is the optimal confer-upon prize restraint the moderate node A? (Keep your retort to 2 decimal places. e.g. xx.12.)

    Expert Retort