3. Lastly, your client has independently identified two annuities for your advice. The first annuity pays $1.000 each three-month period over 6 years, at a nominal rate of 8% p.a. This annuity also has a lump sum payment at maturity (at the end of the 6th year) of $8,000. The second annuity pays $500 each month again over 6 years, at a nominal rate of 7% p.a. This investment has an annual fee of $400, paid at the start of the year, starting immediately. If both annuities cost $25.000, identify which (if any) of the annuities you would recommend to your client. (16 marks)