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As a settlement for an insurance claim, Craig was offered one of two choices. He could either accept a lump-sum amount of $4809 now, or

As a settlement for an insurance claim, Craig was offered one of two choices. He could either accept a lump-sum amount of

$4809

now, or accept

quarterly

payments of

$165

for the next

eight

years. If the money is placed into a trust fund earning

3.63%

compounded

semi-annually,

which is the better option and by how much?

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