Please correct answer and don't use hand rating You've just joined the investment banking firm of Dewey, Cheatum, and Howe. They've offered you two different salary arrangements.You can have $90,000 per year for the next two years, or you can have $77,000 per year for the next two years, along with a $20,000signing bonus today. The bonus is paid immediately and the salary is paid in equal amounts at the end of each month.If the interest rate is 6 percent compounded monthly, what is the PV for both the options?Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.Option 1Option 2

Option 1:Salary: $90,000 per year for two years.Interest rate: 6% compounded monthly.Payments:…

Answered: You've just joined the investment…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 22P

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