Discounting Using Three Functions of the Dollar Solve the following TVM problems. 17. An insurance policy requiring no premiums matures in 20 years and will be worth $60,000. What is that policy worth today assuming a 12 percent discount rate, discounted annually? 18. What are the monthly payments for a 30-year, 10 percent loan for $150,000? 19. Congratulations! You have just won $1,000,000 in the Arkansas Lottery. You will receive payments of $40,000 per year (at the end of each year) for the next 25 years. If the discount rate is 14 percent, what are your winnings worth today? 20. What is the present value of $1,500 received at the end of each month for three years when discounted at 6.5 percent