Question
On January 1, 2016, you win $3,120,000 in the state lottery. The $3,120,000 prize will be paid in equal installments of $390,000 over 8 years.
On January 1, 2016, you win $3,120,000 in the state lottery. The $3,120,000 prize will be paid in equal installments of $390,000 over 8 years. The payments will be made on December 31 of each year, beginning on December 31, 2016. If the current interest rate is 8%, determine the present value of your winnings.
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