You received a notice on January 1 saying that you are a finalist in a publisher's $5 million sweepstakes to be awarded on December 31. You believe in planning ahead, so you want to decide which of their three payment options to accept: Option 1: Receive $5 million in one lump sum on Jan. 1. Option 2: Receive $167.000 on December 31, and on each (29) succeeding December 31, for a total of 30 annual payments Option 3: Receive $14,000 on Feb. 1, and every month thereafter for a total of 360 months Now calculate the present value of each option. Assume an interest rate of 996. (The present value of an annuity of $1 at 9% for 30 periods is 10.274. The present value of an annuity of 51 at 75% (94/ 12) for 360 periods is 124.28. Which option now is more attractive? PV of Option is PV of Option 2 is PV of Option is is the most attractive option