5

You have the choice of receiving $80,000 now, or $44,000 now and another $56,000 six years from now. In terms of today's dollar, which choice is better and by how much? Money is worth 7% compounded annually. Which choice is better? A. They are equal in value. B. The choice of $44,000 now and $56,000 in six years is better. c. The choice of $80,0000 now is better. The better choice is greater than the alternative choice by $ in terms of today's dollar. (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)