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Consider a spacetime diagram for Alice’s frame of reference (so Alice is positioned at x = 0) where x is in units of light years and t is in units of years. At t = 0 Alice plans to have a party. Consider the spacetime points listed below. If Bob was located at the point, and he had a spaceship that could travel at any speed up to the speed of light, would he be able to get to the party in time? (Mark all that are possible for him to get to the party in time.)
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Assume that the terminal value in year 5 is 2,000,000 (note: this is not the correct answer for Question 4). What is the net present value (NPV) of the whole project?
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