ans b,c,d only

(a) Assume you won a lottery of $20,000,000 and every year you will be paid $1,000,000 of it for the next 20 years. A friend of yours offers you $10,000,000 for the lottery. Given an opportunity cost of 10%, compounded annually, should you accept the offer? Why? (5 marks) (b) You are given two choices of retirement plans as following. Assuming a 6 percent opportunity cost, which one do you select? Why? Plan A: equal annual payments of $10,000 for 10 years starting 35 years from now. Plan B: a sum of $100,000 payable after 40 years from now. (5 marks) (c) John will graduate from high school after 7 years and he is now planning for the financial matters of his undergraduate program. Annual tuition fees will be $20,000 annually for four years. His uncle promised to help him by depositing $7,000 each year, from end of current year, into a bank account bearing 8 percent interest for the next 7 years. Will John be able to settle his fees with this arrangement? (7 marks) (d) Alice borrowed $10,000 from a bank with 13 percent interest rate and it is scheduled to be settled within three years. As her financial advisor, prepare amortization schedule for Alice. (8 marks)