400points 1.00 points After hearing a knock at your front door, you are surprised to see the Prize Patrol from a large, well-known magazine subscription company. It has arrived with the good news that you are the big winner, having won $38 million. You have three options. 2 (a) Reoeive $1.9 million per year for the next 20 years. (b) Have $12.5 million today (c) Have $2.5 milion today and receive $1,600,000 for each of the next 20 Your financial adviser tells you that it is reasonable to expect to eam 12 percent on investments. Required: years. 1. Calculate the present value of each option. (Future Value of $1, Present Velue of $1, Future Value Annulity of $1, Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Enter your answers in dollars, not in millions.) Present Value Option A Option B Option C 2. Determine which option you prefer D Option EB Optian A