4. Tom has two options to invest $7,000. The yearly returns for each option is provided below. Calculate the present value of these returns at 10% discounting rate. Which option should Tom choose? (20 points) Year Present Value ($) Present Value ($) 1 2 3 4 5 Option 1 Returns ($) 2,000 2,000 2,000 2,000 2,000 Option 2 Returns ($) 500 500 500 6,500 0 Best Option for Tom:... Bonus Question: 80% percentage of the market share in breakfast cereals in the US belongs to just 3 companies (Kellogg, General Mills, and Post)? Why it is difficult for a small-scale producer to compete with them, particularly in price