Problem 7-27 A $400,000 state lottery prize is spread evenly over eight years ($50,000 a year) (Alternative 1), or you may take a lump distribution of $260.000 (Alternative 2). If you can earn 8 percent calculate the present values of both alternatives. Use Appendix D to answer the question. Round your answers to the nearest dollar Prive 1): 5 D233 Which alternative is better Select