Your grandfather would like to share some of his fortune with you. He offers to give you money under one of the following scenarios (you get to choose): 1. $8,750 per year at the end of each of the next seven years 2. $48,750 (lump sum) now 3. $98,150 (lump sum) seven years from now (Click the icon to view Present Value of $1 table.) (Click the icon to view Present Value of Ordinary Annuity of $1 table.) Read the present value to the nearest whole dollar.) Scenario 1, 8% discount rate, Present value = Scenario 2,8% discount rate, Present value = Scenario 3, 8\% discount rate, Present value = appears to be the best option. Based on an 8% interest rate, its present value is the Requirement 2. Would your preference change if you used a 12% discount rate? Compute the present value of each scenario using a 12% discount rate. (Round the factors to three decimal places, X.XXX. Round the present value to the nearest whole dollar.) Scenario 1,12\% discount rate, Present value = Scenario 2,12% discount rate, Present value = Scenario 3,12% discount rate, Present value = appears to be the best option. Based on a 12% interest rate, its present value is the Reference Reference Present Value of Ordinarv Annuitv of $1 Requirements 1. Calculate the present value of each scenario using an 8% discount rate. Which scenario yields the highest present value? Round to the nearest whole dollar. 2. Would your preference change if you used a 12% discount rate