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With the winnings from a lawsuit, a lawyer is creating an annuity that will pay her client $500,000 every six months for 20 years.
With the winnings from a lawsuit, a lawyer is creating an annuity that will pay her client $500,000 every six months for 20 years. She will finance this annuity from by investing the winnings in an investment account that has an APR of 6% that compounds monthly. If she is not cheating her client, how much were those winnings? (I.e., solve for the pressent value of the annuity.)
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Financial Accounting and Reporting a Global Perspective
Authors: Michel Lebas, Herve Stolowy, Yuan Ding
4th edition
978-1408066621, 1408066629, 1408076861, 978-1408076866
