40. Annuity Value. The $40 million lottery payment that you just won actually pays $2 million per...

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40. Annuity Value. The $40 million lottery payment that you just won actually pays $2 million per year for 20 years. If the discount rate is 8% and the first payment comes in I year, what is the present value of the winnings? What if the first payment comes immediately? (LO3)

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Fundamentals Of Corporate Finance

ISBN: 9780073382302

6th Edition

Authors: Richard A Brealey, Stewart C Myers, Alan J Marcus

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