Marilyns parents have agreed to help her purchase a new car upon graduation in four years. They have given her two choices. The first choice is that they will give her $3,860 each year for the next four years for her to invest herself. The second choice is that they will wait four years and give her $17,080. Marilyn can invest the money at a 5% rate. Collapse question part (a) Which option should Marilyn choose? (Round present value factor calculations to 4 decimal places, e.g. 1.2512 and final answers to 0 decimal places e.g. 58,971.)

Option 1=

Option 2 =

Present value $ $ Marilyn should take .

Please explain your answers and why the rate decrease every year