=+LG 2 P5–16 Time value comparisons of single amounts In exchange for a $23,000 payment today, a well-known company will allow you to choose one of the alternatives shown in the following table. Your opportunity cost is 9%.

Alternative Single amount A $28,500 at end of 3 years B $54,000 at end of 9 years C $160,000 at end of 20 years Investment Price Single cash inflow Year of receipt A $18,000 $30,000 5 B 600 3,000 20 C 3,500 10,000 10 D 1,000 15,000 40