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QUESTION 19 Suppose you win a lottery and under the terms of the lottery, you will receive $250,000 per year for the next 25 years.

QUESTION 19

Suppose you win a lottery and under the terms of the lottery, you will receive $250,000 per year for the next 25 years. If the rate of interest is 12% per year, how much is the present value of your winnings?

1,960,785

4,250,016

5,000,000

$518,334

10 points

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