Mike Macaro is selling a piece of land. Two offers are on the table. Morton Company offered a $45,000 down payment and $35,500 a year for the next 4 years. Flynn Company offered $27,500 down and $38,500 a year for the next 4 years. Assume money can be invested at 9% compounded annually. (Use Table 13.2.)

Value

Morton Company

Flynn Company

b. Which offer is better for Mike?

multiple choice

• Morton Company

• Flynn Company