Question 1 During a recession, the price of goods and services goes down because of low demand. A company that makes Ethernet adapters is planning to expand its production facility at a cost of...

Extracted text: Question 1 During a recession, the price of goods and services goes down because of low demand. A company that makes Ethernet adapters is planning to expand its production facility at a cost of $200,000 five years from now. However, a contractor who needs work has offered to do the job for $100,000 if the company will do the expansion now instead of five years from now. If the interest rate is 10% per year. a) How much of a discount is the company getting? b) How much is the interest amount the contractor is getting in five years if the company accept the offer to do expansion now?