Kiddy Toy Corporation needs to acquire the use of a machine to be used in its manufacturing process. The machine needed is manufactured by Lollie Corporation. The machine can be used for 9 years and then sold for $18,000 at the end of its useful life. Lollie has presented Kiddy with the following options: 1. Buy machine. The machine could be purchased for $168,000 in cash. All insurance costs, which approximate $13,000 per year, would be paid by Kiddy. 2. Lease machine. The machine could be leased for a 9-year period for an annual lease payment of $33,000 with the first payment due immediately. All insurance costs will be paid for by the Lollie Corporation and the machine will revert back to Lollie at the end of the 9-year period. Required: Assuming that a 9% interest rate properly reflects the time value of money in this situation and that all maintenance and insurance costs are paid at the end of each year, determine which option Kiddy should choose. Ignore income tax considerations. Note: Negative amounts should be indicated by a minus sign. Round your final answers to nearest whole dollar amount. Use tables, Excel, or a financial calculator. (FV of \$1, PV of \$1, FVA of \$1, PVA of \$1, FVAD of \$1 and PVAD of \$1) Three employees of the Horizon Distributing Company will receive annual pension payments from the company when they retire. The employees will receive their annual payments for as long as they live. Life expectancy for each employee is 15 years beyond retirement. Their names, the amount of their annual pension payments, and the date they will receive their first payment are shown below: Required: 1. Compute the present value of the pension obligation to these three employees as of December 31,2024 . Assume a 10% interest rate. 2. The company wants to have enough cash invested at December 31,2027 , to provide for all three employees. To accumulate enough cash, they will make three equal annual contributions to a fund that will earn 10% interest compounded annually. The first contribution will be made on December 31, 2024. Compute the amount of this required annual contribution. Note: For all requirements, use tables, Excel, or a financial calculator. Do not round intermediate calculations. Round your final answers to nearest whole dollar amount. (FV of $1,PV of $1, FVA of $1,PVA of $1,FVAD of $1 and Kiddy Toy Corporation needs to acquire the use of a machine to be used in its manufacturing process. The machine needed is manufactured by Lollie Corporation. The machine can be used for 9 years and then sold for $18,000 at the end of its useful life. Lollie has presented Kiddy with the following options: 1. Buy machine. The machine could be purchased for $168,000 in cash. All insurance costs, which approximate $13,000 per year, would be paid by Kiddy. 2. Lease machine. The machine could be leased for a 9-year period for an annual lease payment of $33,000 with the first payment due immediately. All insurance costs will be paid for by the Lollie Corporation and the machine will revert back to Lollie at the end of the 9-year period. Required: Assuming that a 9% interest rate properly reflects the time value of money in this situation and that all maintenance and insurance costs are paid at the end of each year, determine which option Kiddy should choose. Ignore income tax considerations. Note: Negative amounts should be indicated by a minus sign. Round your final answers to nearest whole dollar amount. Use tables, Excel, or a financial calculator. (FV of \$1, PV of \$1, FVA of \$1, PVA of \$1, FVAD of \$1 and PVAD of \$1) Three employees of the Horizon Distributing Company will receive annual pension payments from the company when they retire. The employees will receive their annual payments for as long as they live. Life expectancy for each employee is 15 years beyond retirement. Their names, the amount of their annual pension payments, and the date they will receive their first payment are shown below: Required: 1. Compute the present value of the pension obligation to these three employees as of December 31,2024 . Assume a 10% interest rate. 2. The company wants to have enough cash invested at December 31,2027 , to provide for all three employees. To accumulate enough cash, they will make three equal annual contributions to a fund that will earn 10% interest compounded annually. The first contribution will be made on December 31, 2024. Compute the amount of this required annual contribution. Note: For all requirements, use tables, Excel, or a financial calculator. Do not round intermediate calculations. Round your final answers to nearest whole dollar amount. (FV of $1,PV of $1, FVA of $1,PVA of $1,FVAD of $1 and