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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

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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 $37 million. You have three options. (a) Receive 31.8 million per year for the next 20 years. (b) Have $12.25 million today. (c) Have $2.25 million today and receive $1,55e,eee for each of the next 20 years. Your financial adviser tells you that it is reasonable to expect to earn 14 percent on Investments. sk Required: 1. Calculate the present value of each option. (Future Value of $1. Present Value of St. Future Value Annuity of S1. Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Round your final answer to the nearest whole dollar. Enter your answers in dollars, not in millions.) ances Present Value Option A Option B Optionc 2. Determine which option you prefer Option A Ootion B Option

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