Question
Raul wins $5 million in a lottery. He is paid the winnings at $250,000 per year for 20 years. The lottery establishes an annuity that
Raul wins $5 million in a lottery. He is paid the winnings at $250,000 per year for 20 years. The lottery establishes an annuity that makes the annual payments. How much should the lottery place in the annuity if it earns 5% compounded annually?
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Project Financing Financial Instruments And Risk Management
Authors: Frank J Fabozzi, Carmel De Nahlik
1st Edition
9811231494, 9789811231490
