A. A student wins the highest prize in a lottery where the prize is SEK 500,000 which is paid out at the end of each year for 20 years. The student assesses that it is possible to place the profit and get an annual interest rate of 4%. Another option is to take a lump sum now. What should that sum be be for the alternatives to be equivalent? (4p) B. A company is offered to rent a machine where the rent, SEK 20,000, is paid at the end of each year five years. The alternative is to buy the machine. The purchase price of the machine is 160,000. The company applies a discount rate of 10%. Payments for operation, service, etc. are the same regardless of the machine is rented or bought. If the machine can be sold for SEK 110,000 at the end of year 5, should the machine be rented or bought? Show calculation data and write a conclusion! (3p) 2. What sales price at the end of year 5 means that the options rent or buy are equivalent? Show documentation. (3p)