Question: Value of a single amount versus a mixed stream Personal finance problem Gina Vitale has just contracted to sell a small parcel of land that

 Value of a single amount versus a mixed stream Personal finance
problem Gina Vitale has just contracted to sell a small parcel of

Value of a single amount versus a mixed stream Personal finance problem Gina Vitale has just contracted to sell a small parcel of land that she inherited a few years ago. The buyer is willing to pay $25,358 now, or the buyer will make a series of payments starting now and continuing at annual intervals shown in the following table, . Because Gina doesn't really need the money today, she plans to let it accumulate in an account that earns 4% annual interest. Given her desire to buy a house five years after selling the lot, she decides to choose the payment alternativeeither the lump sum or the mixed stream-that provides the higher future value at the end of 5 years. Which alternative will she choose? The future value, Fyn, of the lump sum deposit is $ . (Round to the nearest cent.) Mixed Stream Beginning of year Cash Flow 0 $2,000 1 $9,000 2. $6,000 3 $4,000 4 $9,000

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