Exercise 14A-6 (Algo) Basic Present Value Concepts [LO14-7] The Caldwell Heraid newspaper reported the following story. Frank Ormsby of Caldwell is the state's newest millionalre. By choosing the six winning numbers on last week's state lottery, Mr. Ormsby won the week's grand prize totaling $1.28 million. The State Lottery Commission indlcated that Mr. Ormsby will recelve his prize in 20 annual installments of $64,000 each. Click here to view Exhibit 148-1 and Exhibit 148-2, to determine the appropriate discount factor(s) using tables. Required: 1. If Mr. Ormsby can invest money ot a 14% rate of return, what is the present value of his winnings? (Enter your answer in dollars and not in millions of dollars.) IBIT 148-1 Present Value of \$1: 10+y21 Vresent Value of an Ansuity of 51 in Arrears: 1(61+x)61