Question
As a winner of a local competition, you can choose one of the following prizes:(a) $100,000 now(b) $170,000 at the end of 4 years(c) $18,000
As a winner of a local competition, you can choose one of the following prizes:(a) $100,000 now(b) $170,000 at the end of 4 years(c) $18,000 per year starting next year for 10 yearsWhich one is the most valuable today in terms of present value?
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Making Hard Decisions with decision tools
Authors: Robert Clemen, Terence Reilly
3rd edition
538797576, 978-0538797573
