You have just won the state lottery! The state lottery offers you the following (after- tax)...
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You have just won the state lottery! The state lottery offers you the following (after- tax) payout options. Option #1: You can receive a $200,000 10 years from now. Option #2: You can receive $14,000 at the end of each year for the next 10 years. Required: Calculate the present value of each of the options using 8% as your interest rate. Question 60 (2 points) Present Value of Option #1 You have just won the state lottery! The state lottery offers you the following (after- tax) payout options. Option #1: You can receive a $200,000 10 years from now. Option #2: You can receive $14,000 at the end of each year for the next 10 years. Required: Calculate the present value of each of the options using 8% as your interest rate. Question 60 (2 points) Present Value of Option #1
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