You Have Won the Lottery and Received a Check for $1,275,156

question 36

Multiple Choice

You have won the lottery and received a check for $1,275,156 today.You invest the lottery check today at an annual interest rate of 8% and allow it to build for a full ten years.At that point in time,you shift the money to an account paying only 6% per year.You plan to spend $175,000 per year in retirement (assume equal annual end-of-the-year cash flows) for 30 years,and your first retirement cash flow is exactly eleven years from today.Will you have enough money to fully fund your desired retirement? Use a calculator to determine your answer.

• A)Yes,because your investment will allow you to spend up to $225,000 per year in retirement.
• B)No,because your investment will allow you to spend up to only $158,000 per year in retirement.
• C)Yes,because your investment will allow you to spend up to $200,000 per year in retirement.
• D)No,because your investment will allow you to spend up to only $137,000 per year in retirement.

---

Definitions:

Customer Advocacy

A marketing strategy focusing on cultivating strong customer relationships by addressing their needs and concerns, encouraging loyalty and positive word-of-mouth.

Brand Visibility

The extent to which a brand is seen or recognized in its market by potential customers, often enhanced through marketing and advertising efforts.

Social Interactions

The ways in which individuals communicate and behave towards each other within a society.

Spam

Unsolicited and often irrelevant messages sent over the Internet, typically to a large number of users, for the purpose of advertising, phishing, spreading malware, etc.