on Joe martin's graduation from college. calculate the present value of the options - OPTION 2

On Joe Martin's graduation from college, Joe's uncle promised him a gift of $12,700 in cash or $830 every quarter for the next 5 years after graduation. Assume money could be invested at 8% compounded quarterly.

Rob Herndon, an accountant with Southwest Airlines, wants to retire 50% of Southwest Airlines bonds by 2038. Calculate the payment Rob needs to make at the end of each year at 6% compounded annually to reach his goal of paying off $300,000 in 20 years.

whats is the annual payment required?

On Joe Martin's graduation from college, Joe's uncle promised him a gift of $12,700 in cash or $830 every quarter for the next 5 years after graduation. Assume money could be invested at 8% compounded quarterly. (Use Table 13.2.) a. Calculate the present value of options. Note: Do not round intermediate caiculations. Round your answers to the nearest cent. Answer is complete but not entirely correct. b. Which offer is better for Joe? Option 2 Option 1