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P6.5 (LO 2,4) (Analysis of Alternatives) Julia Baker died, leaving to her husband Brent an insur- ance policy contract that provides that the beneficiary (Brent)

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P6.5 (LO 2,4) (Analysis of Alternatives) Julia Baker died, leaving to her husband Brent an insur- ance policy contract that provides that the beneficiary (Brent) can choose any one of the following four options. a. $55,000 immediate cash. b. $4.000 every 3 months payable at the end of each quarter for 5 years. c. $18,000 immediate cash and $1,800 every 3 months for 10 years, payable at the beginning of each 3-month period. d. $4,000 every 3 months for 3 years and $1,500 each quarter for the following 25 quarters, all payments payable at the end of each quarter. Instructions If money is worth 242% per quarter, compounded quarterly, which option would you recommend that Brent exercise

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