Question
Freida Farmer, 78 years young, from Karnak, IL has the winning Powerball lottery numbers which will pay out $7 million at the beginning of each
Freida Farmer, 78 years young, from Karnak, IL has the winning Powerball lottery numbers which will pay out $7 million at the beginning of each of the next 30 years (reported prize of $210 million). Before claiming her prize, Dependable Insurance Company offers Frieda $100 million today in exchange for her winning lottery ticket and prize payout. What rate of return would Dependable Insurance earn if Frieda accepts their offer?
| a. | 2.50% | |
| b. | 6.22% | |
| c. | 4.99% | |
| d. | 5.66% | |
| e. | 4.73% |
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The Nurse Managers Guide To Budgeting And Finance
Authors: Al Rundio
2nd Edition
1940446589, 978-1940446585
