Question
1. Suppose you win a $300 million jackpot in a lottery, which promises to pay you $20 million per year for the next 15 years.
1. Suppose you win a $300 million jackpot in a lottery, which promises to pay you $20 million per year for the next 15 years. Assume the current interest rate is 4% and you receive the first payment immediately. How much is this jackpot worth in today's dollars? In other words, calculate the present value of your winnings.
2. You are ready to buy your first house. Suppose you borrow $300,000 from a bank. The loan is to be repaid in 30 years, and the annual interest rate is 3.5%. Calculate your monthly mortgage payment.
how do I use a financial calculator to solve this please help. need the solution with financial calculator
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