You are given three choices for receiving an award:

A. receive $10,000 each year from time 0 through time 11

B. receive 20,000 in each year from time 0 through 4

C. receive 70,000 in time 0

Assuming r > 0, mark each of the following as (T)rue or (F)alse by giving why

(a) The highest PV (A, B or C) will depend on the value of r that is chosen to calculate PV

(b) Option B will always have a lower present value than option A

(c) There is a range of values of r where C has the highest present value