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Lottery Winnings The $70.4 million lottery payment that you just won actually pays $3.2 million per year for 22 years. If the discount rate is

Lottery Winnings

The $70.4 million lottery payment that you just won actually pays $3.2 million per year for 22 years. If the discount rate is 20.70% and the first payment comes in 1 year.
a. What is the present value of the winnings? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)
Present value $ million

b. What is the present value of the winnings, if the first payment comes immediately? (Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places.)
Present value $ million

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