While on vacation in Mexico, you buy a lottery ticket and amazingly, you win. The prize is 5 annual payments of MXN 1,000,000 with the first payment made today. The APR interest rate for 4 years of future MXN cash flows is 6% and for USD cash flows is 2%. The exchange rate today is MXN20.6/USD. What is the value today of your winnings in terms of USD? Extra credit: For those you have taken International Monetary Theory; show the result taking PV in both currencies (you need to determine expected XRs for next 5 years to convert MXN payments into USD).