Mr. Jack Pot, age x, just won the sweepstakes lottery for which he has the option of receiving his winnings in the form of either:

10. (10 points) Mr. Jack Pot, age I, just won the sweepstakes lottery for which he has the option of receiving his winnings in the form of either: 0 a payment of $2,000 at the beginning of each month that he is alive; or o a guaranteed payment of $20,000 at the beginning of each year for 10 years, plus an additional payment of b at the beginning of each year that he is alive in subsequent years. The two payment options have equal actuarial present values You are given: [rim = 8.1, 1013,, = 0.6, 592) = 18.0, 51+\