Question
You have won a small lottery in which you will receive a series of payments forever.The payments start at $800 received today and grow effectively
You have won a small lottery in which you will receive a series of payments forever.The payments start at $800 received today and grow effectively at 3.25% a year forever.Given an APR of 5.25% compounded quarterly, what is the present value of your lottery winnings?
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Business Forecasting
Authors: John E. Hanke, Dean Wichern
9th edition
132301202, 978-0132301206
