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Archie, a lottery winner will recieve the following payments over the next seven years. He has been approached by an investor who will pay him
Archie, a lottery winner will recieve the following payments over the next seven years. He has been approached by an investor who will pay him a lump sum today for the rights to those future cash flows. If he can invest in his cash flow in a fund that will earn 9.90 percent annually, how much should Archie require the investor to pay for the cash flows ?
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