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please show calculations and a timeline if possible 30 31 4. You win the $2 million Georgia lottery. They promise you a payout of $100,000
please show calculations and a timeline if possible 30 31 4. You win the $2 million Georgia lottery. They promise you a payout of $100,000 a year for 20 32 years. Knowing some finance you ask them for a lump sum payment today of $1.5 million 33 instead of the 20 yearly installments. You immediately take $100,000 out of the lump sum of 34 $1.5 million and invest the rest for 19 years at a rate of 5%. If you withdraw $100,000 a year out 35 of this investment for the next 19 years, how much will you have at the end of that period? Was 36 your idea a better way to take the payments? Explain your answer. 37 38 39 40 41 42 43 44 45 46 5. A used car costs $5000. The dealer says she can give it to you for no money down and $150 a 47 month for 60 months. You have a credit card with a $6000 limit and an APR of 14%. How do 48 you decide to finance the car? Explain your answer. 49 50 51 52
please show calculations and a timeline if possible
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