Star Studios is looking to purchase a new building for its upcoming film productions. The company finds a suitable location that has a list price of $1,570,000. The seller gives Star Studios the following purchase options: (FV of $1, PV of $1. FVA of $1, and PVA of $1) (Use appropriate factor(s) from the tables provided. Round your answers to 2 decimal places.) 1. Pay $1,570,000 immediately. 2. Pay $570,000 immediately and then pay $147,000 each year over the next 10 years, with the first payment due in one year. 3. Make 10 annual installments of $235,000, with the first payment due in one year. 4. Make a single payment of $2,270,000 at the end of five years. Required: 1-a. Determine the present value for each option assuming that the company can borrow funds to finance the purchase at 8%. Present Value Option 1 Option 2 Option 3 Option 4 1-b. Which option is the lowest-cost alternative for Star Studios? Option 1 Option 2 Option 3 Option 4