carey company owns a plot of land on which buried toxic wastes have been discovered. since it will require several years and a considerable sum of money before the property is fully detoxified and capable of generating revenues, carey wishes to sell the land now. it has located two potential buyers: buyer a, who is willing to pay $700,000 for the land now, and buyer b, who is willing to make 20 annual payments of $110,000 each, with the first payment to be made 5 years from today. assuming that the appropriate rate of interest is 9%. calculate the present value for each of the buyer.



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