An investor must choose between two options. The first option(a) offers AED 10m for AED 2m a year of 5 years .The second option (B) offers AED 11m of AED 1m a year for four years and and AED 7m in year 5

a) compare the present value of each option by assuming a range of required rate return of the investor, say 8%, 9% ,10% , 11% and 12% what is your advice ?

b) what is your advise to the investor if the economy faces inflationary pressure