Hurd Corporation wants to save $10,000 at the end of every year for five years. Bank A offers an interest rate of 6% compounded daily and Bank B offers an interest rate of 6% compounded monthly. Hurd Corporation is considering the following two options: Option A: Save $4000 annually in Bank A and $6000 annually in Bank B. Option B: Save $6000 annually in Bank A and $4000 annually in Bank B. Calculate the present value of each option and determine which option is economically better.

AppendixLO1