Janet is in contract negotiations with a publishing house for her new novel. She has two options: Option 1: she'll be paid $200,000 today, and receive an annual royalty payment per year for the next five years (starting from next year until the end of the 5th year). Option 2: she'll receive $500,000 today and no royalties afterwards. Assume the discount rate is 7%. Under which of the following annual royalty payment would she be willing to accept the 1st option rather than the 2nd option? $80,000 She'd be willing to take the 1st option under both $75,000 and $80,000. $60,000 O $75,000