Exhibit1:

Exhibit2 :

9. value 1.00 points Julie has just retired. Her company's retirement program has two options as to how retirement benefits can be received. Under the first option, Julie would receive a lump sum of $130,000 immediately as her full retirement benefit. Under the second option, she would receive $19,000 each year for five years plus a lump-sum payment of $75,000 at the end of the five-year period. Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using tables Required: 1a. Calculate the present value for the following assuming that the money can be invested at 11%. (Round discount factor(s) to 3 decimal places.) Present Value of First Option Cash Flow Discount Factor Present Value Lump-sum payment Present Value of Second Option Cash Flow x Discount FactorPresent Value Annual annuity Lump-sum payment Total present value