On January 1 of this year, Shannon Company completed the following transactions (assume a 8% annual interest rate): (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.) 1. Bought a delivery truck and agreed to pay $61,400 at the end of three years. 2. Rented an office building and was given the option of paying $11,400 at the end of each of the next three years or paying $30,000 immediately. 3. Established a savings account by depositing a single amount that will increase to $92,800 at the end of seven years. 4. Decided to deposit a single sum in the bank that will provide 8 equal annual year-end payments of $41,400 to a retired employee (payments starting December 31 of this year). Required: 1. What is the cost of the truck that should be recorded at the time of purchase? (Round your answer to nearest whole dollar.) Cost of the truck 2. Which option for the office building results in the lowest present value? Pay in single installment Pay in three installments 3. What single amount must be deposited in this account on January 1 of this year? (Round your answer to nearest whole dollar.) Amount to deposit You have decided to buy a used car. The dealer has offered you two options: (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.) a. Pay $510 per month for 25 months and an additional $10,000 at the end of 25 months. The dealer is charging an annual interest rate of 24%. b. Make a one-time payment of $16,052, due when you purchase the car. 1-a. Determine how much cash the dealer would charge in option (a). (Round your final answer to nearest whole dollar.) Present value je 1-b. In present value terms, which offer is clearly a better deal? Option a Option b The present values of the options are nearly the same