Alysha has just won a lottery. She will receive a payment of $6,000 at the end of each year for 9 years. As an alternative, she can choose an immediate payment of $50,000.

Which alternative should she pick if the interest rate is 5 percent?

Alysha should pick

Choose your answer here Immediate payment or Payment at the end of each year

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What would the interest rate have to be for Alysha to be indifferent about the two alternatives? (Round answer to 4 decimal places, e.g. 25.2341%. Do not round your intermediate calculations.)

Interest rate

Type your answer here

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