Question
Time Value Of Money:Annuity Question 1 The $40 million lottery prize that you have just won actually pays out $2 million a year for 20
Time Value Of Money:Annuity
Question 1
The $40 million lottery prize that you have just won actually pays out $2 million a year for 20 years. The interest rate is 8%
A) If the first payment comes after 1 year, what is the present value of your winnings
b) What is the present value if the first payment comes immediately?
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The Handbook Of Equity Derivatives
Authors: Jack Clark Francis, William W. Toy, J. Gregg Whittaker
1st Edition
0471326038, 978-0471326038
