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You have just learned that you are a beneficiary in the will of your late Aunt Susan. The executrix of her estate has given you

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You have just learned that you are a beneficiary in the will of your late Aunt Susan. The executrix of her estate has given you three options as to how you may receive your inheritance. Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using tables. a. You may receive $62,000 immediately. b. You may receive $85,000 at the end of seven years. c. You may receive $19,000 at the end of each year for seven years (a total of $133,000). Required: 1a. Calculate the present value for the following assuming that the money can be invested at 12% percent (Round discount factor(s) to 3 decimal places.) Present Value Present Value $ 62,000 Option a Option b Cash Flow x Discount factor $ 62,000 x 1.000000 $ 85,000 x 0.452000 $ 19,000 x - GA 38,420 Optionc

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