You have just matched all of the numbers in the Mega Zillions lottery. The Jackpot was $62,000,000. Your choices are to take your prize in equal annual installments over the next 30 years, or to receive an immediate check for $20,000,000. Assuming a discount rate of 9.6%, and ignoring the effect of taxes, which option is financially optimal?

Multiple Choice

• The two options are worth exactly the same amount

• Immediate check

• Insufficient data to make a determination

• Installments