Jamie Is a Self-Employed Consultant

Jamie is a self-employed consultant. A prospective client has offered her three payment options. Jamie is currently earning 8.5% on her funds. Which one of the following statements is correct concerning Jamie's payment options?

Option 1: $10,000 today plus $25,000 at the end of year 2
Option 2: $5,000 today plus $9,000 at the end of year 1 and $22,000 at the end of year 2
Option 3: $36,000 at the end of year 2

A) At a 2% rate of return Option 3 is the best choice.
B) At a 6% rate of return Option 1 is the worst choice.
C) At an 8.5% rate of return Option 2 is the best choice.
D) At a 0% rate of return all options are equivalent.
E) At a 6% rate of return, Option 1 is the best choice.