Question
A man wins a lottery and is given a few options regarding mode of payment. He wins a lottery prize of 3 million. He is
A man wins a lottery and is given a few options regarding mode of payment. He wins a lottery prize of 3 million. He is given two options to take his prize money; a) 25 payments of 0.2 million per annum or b) 1.8 million today after deducing various taxes. If the prevailing interest rate is the economy relevant for the man is 7%, which option is best for the lottery winner?
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Value Investing
Authors: Mike Hartley
1st Edition
979-8864443309
