Question
Present Value of an Annuity On January 1, you win $1,040,000 in the state lottery. The $1,040,000 prize will be paid in equal installments of
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Present Value of an Annuity
On January 1, you win $1,040,000 in the state lottery. The $1,040,000 prize will be paid in equal installments of $130,000 over 8 years. The payments will be made on December 31 of each year, beginning on December 31. If the current interest rate is 6%, determine the present value of your winnings. Use the present value tables in Exhibit 7. Round to the nearest whole dollar.
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Forensic And Investigative Accounting
Authors: Crumbley D. Larry, Fenton Edmund D., Jr. Smith G. Stevenson
9th Edition
0808053221, 9780808053224
