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You just won a lottery. The lottery will pay the winner $150,000 immediately and $55,300 at the end of the first year. This annual payment
You just won a lottery. The lottery will pay the winner $150,000 immediately and $55,300 at the end of the first year. This annual payment will grow at 2% each year to compensate for inflation and continue forever. If the fund can earn an annual return of 7% compounding annually, how much did you win in todays dollars?
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