Imagine you received two offers. You need to decide which one means more money for

you!

OFFER #$1$:

Right away, you receive $$2,440,000.$ Also, you will receive $40$ back$-$to$-$back payments of

$$1,220,000$ each, six months apart, and the first one of these will take place in one year.

The discount rate is $8$ percent, with daily compounding.

OFFER #$2$:

Right away, you receive $$26$ million. And nothing else in the future.

To make your decision, you need to first figure out how much Offer #$1$ is worth to you in

today's dollars. The answer is: $

$($Assume thirty days in each month and twelve months in each year.$)$

$($Do not round intermediate calculations. Round your final answer to $2$ decimal places,

e$.$g$.,12\mathrm{.}34.)$

Present value