Chapter 6.6, Problem 41PS

(a)

To determine

To find: The total years does the profitability of the second investment exceed that of the first.

(b)

To determine

To compute: The net excess profit assuming that you invest in the second plan for the time period determined in part a.

(c)

To determine

To plot: The rate of probability curves $y=P_{{}_1}^{\text{'}}(t)$ and $y=P_{{}_2}^{\text{'}}(t)$ and shade the region whose area represents the net excess profit computed in part b.