Problem 1 Alexander & Co. developed a revolutionary dog-training methodology that uses a combination of dog psychology and pet products. As such, Alexander & Co has been offered three separate purchase ageements for the company. Currently, they are reviewing the three offers. Petco: $1 million payable immediately and an annual payment of $1.5 million for the five years thereafter with the first payment exactly one year from the sell. RockStar Pets: $2.5 million payable immediately and an annual payment of $1 million for six years. The six annual payments would begin exactly three years from the sell. Pet Smart: $1 million payable today, $1.5 million payable one year from the sell, $2 million payable two years from the sell, and $3.5 million payble three years from the sell. Requirement A. Determine the present value (PV) of the three offers assuming an 8% interest rate. B. Which should Alexander & Co. choose (which offer has the highest PV)? A Petco Show Calculations Here RockStar Pets Show Calculations Here Pet Smart Show Calculations Here B Which offer should they choose? (select)