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Kimberly Young has just won the Lotto. Her prize pays $ 50400 at the end of each year for 6 years. In addition, she will
Kimberly Young has just won the Lotto. Her prize pays $ 50400 at the end of each year for 6 years. In addition, she will receive a one- time payment of $ 302400 at the end of 6 years. Using the following factors at 13%, what amount has Kimberly really won in the Lotto?(round to the nearest dollar) Periods Interest Rate Factor 13% 0.4803 6 Type of Cash Flow PV of $1 FV of $1 PV ordinary annuity FV ordinary annuity 6 13% 2.0820 6 13% 3.9975 6 13% 8.3227 PV annuity due 6 13% 4.5172 O $346717 O $ 554400 O $831071 O $ 734530
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