Question
With explanation please You have won a lottery that promises to pay you $6900 every two years with the payments lasting forever. The first payment
With explanation please
You have won a lottery that promises to pay you $6900 every two years with the payments lasting forever. The first payment will be made to you, 2 years from now. You want to open an account with 10% APR compounded semi-annually in the name of your nephew and direct your winnings to that account in exchange for his car which is worth $32,000 today. Answer the following questions: 29. What is the effective interest rate applicable to the lottery payments. What is the present value of the winnings?
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Auditing Information Systems
Authors: Jack J. Champlain
2nd Edition
0471281174, 978-0471281177
