Question
You have just won the lottery. At the beginning of the next 30 years, you will receive a payment of $90,000 per year ($90,000*30=$2.7 million).
You have just won the lottery. At the beginning of the next 30 years, you will receive a payment of $90,000 per year ($90,000*30=$2.7 million). Or you are given a choice to accept today (Present Value) of $1.4 million? Which of these choices you will make and why?
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Step: 1
The decision between receiving annual payments of 90000 for the next 30 years or taking a lump sum ...
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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
