Question
Alle Katz won an unusual state lottery last night. She will receive $10,000 tomorrow, $40,000 in three years and $90,000 in six years. what is
Alle Katz won an unusual state lottery last night. She will receive $10,000 tomorrow, $40,000 in three years and $90,000 in six years. what is this lottery worth to her today assuming 4% interest?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
To calculate the present value of the lottery winnings we need to discount each future cash flow bac...
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Personal Finance
Authors: Thomas Garman, Raymond Forgue
12th edition
9781305176409, 1133595839, 1305176405, 978-1133595830
