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You just won the lottery today. This special lottery will pay you $1,500,000 on your 35th birthday (exactly 15 years from today). However, you really
You just won the lottery today. This special lottery will pay you $1,500,000 on your 35th birthday (exactly 15 years from today). However, you really want the money today so you can donate it to SMU. An insurance company will buy your lottery payout in 15 years for a lump sum payment today. If the interest rate is 6% compounded annually, how much is the insurance company paying you today?
A. 154,444
B. 834,530
C. 1,043,163
D. 625,898
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