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The Hilton Hotel is offering a $4,000 grand prize to one lucky winner. $1,000 will be paid on the day of the drawing. The remaining
The Hilton Hotel is offering a $4,000 grand prize to one lucky winner. $1,000 will be paid on the day of the drawing. The remaining $3,000 will be paid in three annual payments of $1,000 each, starting one year after the drawing. How much would this prize be worth to you if you can earn 7 percent on your money?
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$4,000
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$3,000
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$3,624
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$3,387
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$2,545
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