EM11-23 (similar to) Congratulations! You have won a state lottery. The state lottery offers you the following (after-tax) payout options: (Click the icon to view the payout options.) (Click the icon to view Present Value of $1 table.) (Click the icon to view Present Value of Ordinary Annuity of $1 table.) (Click the icon to view Future Value of Ordinary Annuity of $1 table.) (Click the icon to view Future Value of $1 table.) Assuming you can earn 10% on your funds, which option would you prefer? The present value of the payout is: (Round your answers to the nearest whole dollar.) Present value of the payout, Option #1: i X Data Table Option #1: $15,000,000 after five years Option #2: $2,200,000 per year for five years Option #3: $11,000,000 after three years Print Done Present Value of $1 Periods Period 1 Period 2 Period 3 Period 4 Period 5 1% 2% 3% 4% 5% 0.990 0.980 0.971 0.962 0.952 0.980 0.961 0.943 0.925 0.907 0.971 0.942 0.915 0.889 0.864 0.961 0.924 0.888 0.855 0.823 0.951 0.906 0.863 0.822 0.784 6% 0.943 0.890 0.840 0.792 0.747 7% 0.935 0.873 0.816 0.763 0.713 8% 0.926 0.857 0.794 0.735 0.681 9% 10% 0.917 0.909 0.842 0.826 0.772 0.751 0.708 0.683 0.650 0.621 12% 0.893 0.797 0.712 0.636 0.567 14% 15% 16% 0.877 0.870 0.862 0.769 0.756 0.743 0.675 0.658 0.641 0.592 0.572 0.552 0.519 0.497 0.476 18% 20% 0.847 0.833 0.7180.694 0.609 0.579 0.516 0.482 0.437 0.402 Period 6 Period 7 Period 8 Period 9 Period 10 0.942 0.888 0.837 0.790 0.746 0.933 0.871 0.813 0.760 0.711 0.923 0.853 0.789 0.731 0.677 0.914 0.837 0.766 0.703 0.645 0.905 0.820 0.744 0.676 0.614 0.705 0.665 0.627 0.592 0.558 0.666 0.623 0.582 0.544 0.508 0.630 0.583 0.540 0.500 0.463 0.596 0.564 0.507 0.547 0.513 0.452 0.502 0.467 0.404 0.460 0.424 0.361 0.422 0.386 0.322 0.456 0.400 0.351 0.308 0.270 0.432 0.410 0.370 0.335 0.376 0.354 0.314 0.279 0.327 0.305 0.266 0.233 0.284 0.263 0.225 0.194 0.247 0.227 0.191 0.162 Period 11 0.896 0.804 0.722 0.650 0.585 Period 12 0.887 0.788 0.701 0.625 0.557 Period 13 0.879 0.773 0.681 0.601 0.530 Period 14 0.870 0.758 0.661 0.577 0.505 Period 15 0.861 0.743 0.642 0.555 0.481 0.527 0.497 0.469 0.442 0.417 0.475 0.444 0.415 0.388 0.362 0.429 0.397 0.368 0.340 0.315 0.388 0.350 0.287 0.356 0.319 0.257 0.326 0.290 0.229 0.299 0.263 0.205 0.275 0.239 0.183 0.237 0.215 0.195 0.162 0.135 0.208 0.187 0.168 0.137 0.112 0.182 0.163 0.145 0.116 0.093 0.160 0.141 0.125 0.099 0.078 0.140 0.123 0.108 0.084 0.065 Period 16 0.853 0.728 0.623 0.534 0.458 Period 17 0.844 0.714 0.605 0.513 0.436 Period 18 0.836 0.700 0.587 0.494 0.416 Period 19 0.828 0.686 0.570 0.475 0.396 Period 20 0.820 0.673 0.554 0.456 0.377 0.394 0.371 0.350 0.331 0.312 0.339 0.317 0.296 0.277 0.258 0.292 0.270 0.250 0.232 0.215 0.252 0.218 0.163 0.231 0.198 0.146 0.212 0.180 0.130 0.194 0.164 0.116 0.178 0.149 0.104 0.123 0.107 0.093 0.108 0.093 0.080 0.095 0.081 0.069 0.083 0.070 0.060 0.073 0.061 0.051 0.071 0.054 0.060 0.045 0.051 0.038 0.043 0.031 0.037 0.026 Period 21 0.811 0.660 0.538 0.439 0.359 Period 22 0.803 0.647 0.522 0.422 0.342 Period 23 0.795 0.634 0.507 0.4060.326 Period 24 0.788 0.622 0.492 0.390 0.310 Deriod 25 78010610 0178 n 275 0295 0.294 0.278 0.262 0.247 0 223 0.242 0.226 0.211 0.197 184 0.199 0.184 0.170 0.158 110 0.164 0.135 0.093 0.150 0.123 0.083 0.138 0.112 0.074 0.126 0.1020.066 n 110 nna2 0050 0.064 0.056 0.049 0.043 0038 0.053 0.044 0.031 0.022 0.046 0.038 0.026 0.018 0.040 0.033 0.022 0.015 0.035 0.028 0.019 0.013 n20 021 016 0010 Present Value of Ordinary Annuity of $1 Periods Period 1 Period 2 Period 3 Period 4 Period 5 1% 0.990 1.970 2.941 3.902 4.853 2% 0.980 1.942 2.884 3.808 4.713 3% 0.971 1.913 2.829 3.717 4.580 4% 5% 6% 7% 0.962 0.952 0.943 0.935 1.886 1.859 1.833 1.808 2.775 2.723 2.673 2.624 3.630 3.546 3.465 3.387 4.452 4.329 4.212 4.100 8% 0.926 1.783 2.577 3.312 3.993 9% 10% 0.917 0.909 1.759 1.736 2.531 2.487 3.240 3.170 3.890 3.791 12% 14% 0.893 0.877 1.690 1.647 2.402 2.322 3.037 2.914 3.605 3.433 15% 0.870 1.626 2.283 2.855 3.352 16% 0.862 1.605 2.246 2.798 3.274 18% 20% 0.847 0.833 1.566 1.528 2.174 2.106 2.690 2.589 3.127 2.991 Period 6 Period 7 Period 8 Period 9 Period 10 5.795 5.601 6.728 6.472 7.652 7.325 8.566 8.162 9.471 8.983 5.417 6.230 7.020 7.786 8.530 5.242 5.076 4.917 4.767 6.002 5.786 5.582 5.389 6.733 6.463 6.210 5.971 7.435 | 7.108 6.802 6.515 8.111 7.722 7.360 7.024 4.623 4.486 4.355 5.206 5.033 4.868 5.747 5.535 5.335 6.247 5.995 5.759 6.710 6.418 6.145 4.111 3.889 3.784 4.564 4.288 4.160 4.968 4.639 4.487 5.328 4.946 4.772 5.650 5.216 5.019 3.685 4.039 4.344 4.607 4.833 3.498 3.326 3.812 3.605 4.078 3.837 4.303 4.031 4.494 4.192 Period 11 Period 12 Period 13 Period 14 Period 15 10.368 9.787 9.253 8.760 8.306 7.887 7.499 11.255 10.575 9.954 9.385 8.863 8.384 7.943 12.134 11.348 10.635 9.986 9.394 8.853 8.358 13.004 12.106 11.296 10.563 9.899 9.295 8.745 13.865 12.849 11.938 11.118 10.380 9.712 9.108 7.139 6.8056.495 5.938 5.453 5.234 7.536 7.161 6.814 6.194 5.660 5.421 7.904 7.487 7.103 6.424 5.842 5.583 8.244 7.786 7.367 6.628 6.002 5.724 8.559 8.061 7.606 6.811 6.142 5.847 5.029 5.197 5.342 5.468 5.575 4.656 4.327 4.793 4.439 4.910 4.533 5.008 4.611 5.092 4.675 Period 16 Period 17 Period 18 Period 19 Period 20 14.718 | 13.578 12.561 11.652 10.838 10.106 9.447 8.851 8.313 7.824 6.9746.265 15.562 14.292 13.166 12.166 11.274 10.477) 9.763 9.122 8.544 8.022 7.1206.373 16.398 14.992 13.754 12.659 11.690 10.828 10.059 9.372 8.756 8.201 7.250 6.467 17.226 15.678 14.324 13.134 12.085 11.158 10.336 9.604 8.950 8.365 7.366 6.550 18.046 16.351 14.877 13.590 12.462 11.470 10.594 9.818 9.129 8.514 7.469 6.623 5.954 6.047 6.128 6.198 6.259 5.669 5.749 5.818 5.877 5.929 5.1624.730 5.222 4.775 5.273 4.812 5.316 4.844 5.353 4.870 Period 21 18.857 17.011 15.415 14.029 12.821 11.764 10.836 10.017 9.292 8.649 7.562 6.687 Period 22 19.660 17.658 15.937 14.451 13.163 12.042 11.061 10.2019.442 8.772 7.645 6.743 Period 23 20.456 18.292 | 16.444 14.857 13.489 12.303 11.272 10.371 9.580 8.883 7.718 6.792 Period 24 21.243 18.914 16.936 15.247 13.799 12.550 11.469 10.529 9.707 8.985 7.7846.835 Deriod 25 22.023 | 10 523 | 17113 15922 14 nan 112 7831 11 651 110 87519 823 0077 7813 6872 6.312 6.359 6.399 6.434 6161 5.973 6.011 6.044 6.073 6 naz 5.384 4.891 5.410 4.909 5.432 4.925 5.451 4.937 5167 1018 Future Value of $1 ion V Periods Period 1 Period 2 Period 3 Period 4 Period 5 1% 1.010 1.020 1.030 1.041 1.051 2% 1.020 1.040 1.061 1.082 1.104 3% 1.030 1.061 1.093 1.126 1.159 4% 5% 6% 7% 8% 9% 10% 1.040 1.050 1.060 1.070 1.080 1.090 1.100 1.082 1.103 1.1241.145 | 1.166 1.188 1.210 1.125 1.158 1.191 1.225 1.260 1.295 1.331 1.170 1.216 1.262 1.311 1.360 1.412 1.464 1.217 1.276 1.338 1.403 1.469 1.539 1.611 12% 14% 15% 1.120 1.140 1.150 1.254 1.300 1.323 1.405 1.482 1.521 1.574 1.689 1.749 1.762 1.925 2.011 erst Period 6 Period 7 Period 8 Period 9 Period 10 1.062 1.072 1.083 1.094 1.105 1.126 1.149 1.172 1.195 1.219 1.194 1.230 1.267 1.305 1.344 1.265 1.316 1.369 1.423 1.480 1.340 1.419 1.407 1.504 1.477 1.594 1.551 1.689 1.629 1.791 1.501 1.606 1.718 1.838 1.967 1.587 1.677 1.714 1.828 1.851 1.993 1.999 2.172 2.159 2.367 1.772 1.949 2.144 2.358 2.594 1.974 2.195 2.313 2.211 2.502 2.660 2.476 2.853 3.059 2.773 3.252 3.518 3.106 3.707 4.046 Period 11 Period 12 Period 13 Period 14 Period 15 1.116 1.127 1.138 1.149 1.161 1.243 1.268 1.294 1.319 1.346 1.384 1.539 1.710 1.898 2.105 2.332 2.580 2.853 3.479 4.226 4.652 1.426 1.601 1.796 2.012 2.252 2.518 2.813 3.138 3.896 4.818 5.350 1.469 1.665 1.886 2.133 2.410 2.720 3.066 3.452 4.363 5.492 6.153 1.513 1.732 1.980 2.261 2.579 2.937 3.342 3.798 4.8876.261 | 7.076 1.558 1.801 2.079 2.3972.759 3.172 3.642 4.177 5.474 | 7.1388.137 Period 16 Period 17 Period 18 Period 19 Period 20 1.173 1.184 1.196 1.208 1.220 1.373 1.400 1.428 1.457 1.486 1.605 1.873 2.183 2.540 2.952 3.426 3.970 4.595 1.653 1.948 2.292 2.693 3.159 3.700 4.328 5.054 1.702 2.026 2.407 2.854 3.380 3.996 4.717 5.560 1.754 2.107 2.527 3.026 3.617 4.316 5.142 6.116 1.806 2.191 2.653 3.207 3.870 4.661 5.604 6.727 6.130 8.137 | 9.358 6.866 9.276 10.76 7.690 10.58 12.38 8.613 12.06 14.23 9.646 13.74 16.37 Period 21 Period 22 Period 23 Period 24 Deriod 25 1.232 1.245 1.257 1.270 1 282 1.516 1.546 1.577 1.608 1.611 1.860 2.279 2.786 3.400 4.141 5.034 6.109 1.916 2.370 2.925 3.604 4.430 5.437 6.659 1.974 2.465 3.072 3.820 4.741 5.871 | 7.258 2.033 2.563 3.225 4.049 5.072 6.341 | 7.911 2 nan 2666 2.286 1 292 5127 6 818 8622 7.400 8.140 8.954 9.850 10 82 10.80 15.67 18.82 12.10 17.86 21.64 13.55 20.36 24.89 15.18 23.2128.63 17 00 26.16 32 02 Future Value of Ordinary Annuity of $1 ion V Periods Period 1 Period 2 Period 3 Period 4 Period 5 1% 2% 3% 4% 5% 1.000 1.000 1.000 1.000 1.000 2.010 2.020 2.030 2.0402.050 3.030 3.060 3.091 3.122 3.153 4.060 4.122 4.184 4.246 4.310 5.101 5.204 5.309 5.416 5.526 6% 1.000 2.060 3.184 4.375 5.637 7% 1.000 2.070 3.215 4.440 5.751 8% 9% 10% 12% 14% 15% 1.000 1.000 1.000 1.000 1.000 1.000 2.080 2.090 2.100 2.120 2.140 2.150 3.246 3.278 3.310 3.374 | 3.440 3.473 4.506 4.573 4.641 4.779 4.921 4.993 5.867 5.985 6.105 6.353 6.610 6.742 erst Period 6 Period 7 Period 8 Period 9 Period 10 6.152 6.308 6.468 6.633 6.802 7.214 7.434 7.662 7.898 8.142 8.286 8.583 8.8929.214 9.549 9.369 9.755 10.16 10.58 11.03 10.46 10.95 11.46 12.01 12.58 6.975 7.153 7.336 7.523 7.716 8.394 8.654 8.9239.200 9.487 9.897 10.260 10.64 11.03 11.44 11.49 11.98 12.49 13.02 13.58 13.18 13.82 14.49 15.1915.94 8.115 8.536 8.754 10.09 10.73 11.07 12.30 13.23 14.78 16.09 16.79 17.55 19.34 20.30 13.73 Period 11 Period 12 Period 13 Period 14 Period 15 11.57 12.17 12.81 13.49 14.21 12.68 13.41 14.19 15.03 15.92 13.81 14.68 15.62 16.63 17.71 14.95 15.97 17.0918.29 19.60 16.10 17.29 18.60 20.02 21.58 14.97 15.78 16.87 17.89 18.88 20.14 21.02 22.55 23.28 25.13 16.65 17.56 18.53 20.65 23.04 24.35 18.98 20.14 21.3824.13 27.27 | 29.00 21.50 22.95 24.52 28.03 32.09 34.35 24.21 26.02 27.98 32.39 37.58 40.50 27.15 29.36 31.77 37.28 43.84 47.58 Period 16 Period 17 Period 18 Period 19 Period 20 17.26 18.64 20.16 21.82 23.66 18.43 20.01 21.76 23.70 25.84 19.61 21.41 23.41 25.65 28.13 20.81 22.84 25.12 27.67 30.54 22.02 24.30 26.87 29.78 33.07 25.67 28.21 30.91 33.76 36.79 27.89 30.84 34.00 37.38 41.00 30.32 33.00 35.95 42.75 50.98 55.72 33.75 36.97 40.54 48.88 59.12 65.08 37.45 41.30 45.60 55.7568.39 75.84 41.45 46.02 51.16 63.44 78.97 88.21 45.76 51.16 57.28 72.05 91.02 102.4 Period 21 Period 22 Period 23 Period 24 Dariod 25 23.24 25.78 28.68 31.97 35.72 24.47 27.30 30.54 34.25 38.51 25.72 28.85 32.45 36.62 41.43 26.97 30.42 34.43 39.08 44.50 28. 21 22.02 26.10 1165 17 73 39.99 43.39 47.00 50.82 51 86 44.87 49.01 53.44 58.18 62.25 50.42 56.76 64.00 55.46 62.87 71.40 60.89 69.53 79.54 66.76 | 76.79 88.50 72 11 84.70 ag 25 81.70 92.50 104.6 118.2 1333 104.8 118.8 120.4 137.6 138.3 159.3 158.7184.2 181 0 2128