Question 3: You have won the lottery and have a choice between a) a $12,000,000 cash upfront one-time payment or b) a series of payments of S310,000 per year for 40 years and with an additional one-time $2,000,000 lump sum payment at the end of 40 years. Question 1) Which is the better financial outcome and by how much in today's dollars? (ignore taxes. these payments are tax free) You believe that interest rates will be 2.5% throughout the full period. Question 2) What should the annual payments be for you to be indifferent between each option? (10 Marks)