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Part $1$

$A50-$year$-$old employee $ofIQ$ Entertainment was asked $to$ select one $of$ three potential early retirement packages.

LOADING... $(Click$ the icon $to$ view the potential early retirement packages.$)$

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$(Click$ the icon $to$ view the Future Value $of$ $$1$ table.$)$

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$(Click$ the icon $to$ view the Present Value $of$ $$1$ table.$)$

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$(Click$ the icon $to$ view the Future Value $ofan$ Ordinary Annuity table.$)$

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$(Click$ the icon $to$ view the Present Value $ofan$ Ordinary Annuity table.$)$

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$(Click$ the icon $to$ view the Future Value $ofan$ Annuity Due table.$)$

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$(Click$ the icon $to$ view the Present Value $ofan$ Annuity Due table.$)$

Requirement

Which retirement package should the employee select $ifhe$ can invest funds $at5\%$ compounded annually, assuming all retirement payments are received $at$ the beginning $of$ the year?

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Part $1$

First, calculate the present value $of$ each retirement package. $(Use$ the present value and future value tables, the formula method, a financial calculator, $or$ a spreadsheet for your calculations. $If$ using present and future value tables $or$ the formula method, use factor amounts rounded $to$ five decimal places, $X.XXXXX.$ Round intermediary currency computations and your final answer $to$ the nearest cent, $$X.XX.)$

Part $2$

Present value

Package $A$

$$60,000\mathrm{.}00$

Package $B$