Jesse has just learned that she won $ 1 million in her state lottery. She has the

Question:

Jesse has just learned that she won $ 1 million in her state lottery. She has the choice of receiving a lump- sum payment of $ 312,950 or $ 50,000 per year for the next 20 years. Jesse can invest the lump sum at 8%, or she can invest the annual payments at 6%. Which should she choose for the greatest return after 20 years?