​Suppose You Just Won the State Lottery,and You Have a Choice

question 131

Multiple Choice

​Suppose you just won the state lottery,and you have a choice between receiving $3,025,000 today or a 20-year annuity of $250,000,with the first payment coming one year from today.What rate of return is built into the annuity? Disregard taxes.

• A) ​5.62%
• B) 5.35%
• C) 3.95%
• D) ​6.65%
• E) ​6.34%

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Definitions:

Cultural Proficiency

The level of knowledge, awareness, and skills needed to function effectively and respectfully in culturally diverse environments.

Cultural Pre-competence

Describes the awareness and initial efforts of individuals or organizations to understand and respect different cultures, with the aim to advance cultural competence.

Basic Cultural Competence

The fundamental ability of individuals and organizations to understand and honor the cultural beliefs, languages, interpersonal styles, and behaviors of individuals and groups from different cultural backgrounds.

Cultural Proficiency

The level of knowledge-based skills and understanding of cultural differences and similarities within, among, and between groups required for effective work in a pluralistic environment.