( 1)E⑴= 2000 * 0.6+2000 * 0.6+2000 * 0.6- 1000- 1000 = 1600

e(2)= 2000 * 0.6+2000 * 0.6+(2000 * 0.6+ 1000 * 0.9)- 1000- 1000 = 1500

e(3)= 2000 * 0.6+(2000 * 0. 1+ 1000 * 0.9)+2000 * 0.6- 1000- 1000 = 1500

e(4)= 2000 * 0.6+(2000 * 0. 1+ 1000 * 0.9)+(2000 * 0.6+ 1000 * 0.9)- 1000- 1000 = 1400

e(5)=(2000 * 0. 1+ 1000 * 0.9)+(2000 * 0. 1+ 1000 * 0.9)+(2000 * 0. 1+ 1000 * 0.9)- 1000-

1000= 1300

e(6)=(2000 * 0. 1+ 1000 * 0.9)+2000 * 0.6+2000 * 0.6- 1000- 1000 = 1500

e(7)=(2000 * 0. 1+ 1000 * 0.9)+2000 * 0.6+(2000 * 0. 1+ 1000 * 0.9)- 1000- 1000 = 1400

e(8)=(2000 * 0. 1+ 1000 * 0.9)+(2000 * 0. 1+ 1000 * 0.9)+2000 * 0.6- 1000- 1000 = 1400

So the first investment strategy predicts that the total amount of funds will be the largest at the end of the third year.