You bought an annuity selling at $$2,836\mathrm{.}98$ today that promises to make equal payments at the beginning of each year for the next eight years $($N$).$ If the annuity$$s appropriate interest rate $($I$)$ remains at $6\mathrm{.}50\%$ during this time, then the value of the annual annuity payment $($PMT$)$ is$$437\mathrm{.}50.$

You just won the lottery. Congratulations! The jackpot is $$10,000,000,$ paid in eight equal annual payments. The first payment on the lottery jackpot will be made today. In present value terms, you really won $$assuming annual interest rate of $6\mathrm{.}50\%.$