Question
You win a state lottery, and you are promised to receive $100,000 a year for life (perpetuity). If you can earn 8% a year, what
You win a state lottery, and you are promised to receive $100,000 a year for life (perpetuity). If you can earn 8% a year, what is the value today of your future payments?
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Financial Institutions Management A Risk Management Approach
Authors: Marcia Cornett, Patricia McGraw, Anthony Saunders
8th edition
978-0078034800, 78034809, 978-0071051590
