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You have just won the lottery and will receive $1,000,000 in one year. You will receive payments for 25 years and the payments will increase

You have just won the lottery and will receive $1,000,000 in one year. You will receive payments for 25 years and the payments will increase 2 percent per year.

If the appropriate discount rate is 6 percent, what is the present value of your winnings?

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