What is the pv of option two

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Abbi is receiving an insurance payout and has a choice of the following when money is worth 5.4% compounded annually:

Option one $8 000 per year paid at the end of each year for 6 years

Option two $19 000 paid now, $11 000 paid 5 years from now, and $6 000 paid 6 years from now

Question 1: What is the PV of Option two?

Select one:

a. $12833

b. $31945

c. $12636

d. $31833

Reference no: EM132499898

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