You Have a Choice Between a Lottery Lump Sum Payout

question 99

Multiple Choice

You have a choice between a lottery lump sum payout of $3,300,000 today or a series of twenty annual annuity due payments.At a discount rate of 5.00%,how large must the annual annuity due payments be to make you indifferent between the two choices? Use a calculator to determine your answer.

• A)$381,301.32
• B)$351,179.40
• C)$312,548.41
• D)$252,190.99

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Creating a general structure for a piece of writing, presentation, or project, highlighting its main points.

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A method used to emphasize parts of text by marking them with a conspicuous color.

Blocks of Time

Distinct periods allocated for specific tasks or activities to improve focus and productivity.

Highlight

To emphasize or make more noticeable an important part or detail.