The $40 million lottery payment that you just won actually pays $2 million per year for 20 years. If the discount rate is 5%, and the first payment comes in 1 year, what is the present value of the winnings approximately?
a. 40.00 million
b. 38.26
c. 24.92
d. 19.64
The $40 million lottery payment
No comments:
Post a Comment