Carla is ready to retire and has a choice of three pension plans. Plan A provides for an immediate cash payment of $338,000. Plan B provides for the payment of $39,000 per year for 6 years and the payment of $189,000 at the end of year 6. Plan C will pay $38,100 per year for 6 years. Carla desires a return of 6 percent.

Determine the present value of each plan.(Round present value factor calculations to 4 decimal places, e.g. 1.2151 and final answers to 2 decimal places, e.g. 125.25. Enter negative amounts using either a negative sign preceding the number e.g. -45.12 or parentheses e.g. (45.12).)

Present value

Plan A $______

Plan B $______

Plan C $______

Select the best one.

[Plan A, Plan B, or Plan C] is the best one.