Present value of the alternative 1 and 2 and also find the preferred alternative.

An unavoidable cost may be met by outlays of $12,000 now and $3,500 at the end of every six months for five years (Alternative 1) or by making monthly payments of $550 for nine years (Alternative 2). Interest is 10% compounded quarterly. Compute the present value of each alternative and determine the preferred alternative according to the discounted cash flow criterion. The present value of Alternative 1 is $ (Round the final answer to the nearest dollar as needed. Round all intermediate values to six decimal places as needed.)