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You won the lottery, and you are presented with three options for how to take the cash: - a lump sum payment in 22 years
You won the lottery, and you are presented with three options for how to take the cash:
You won the lottery, and you are presented with three options for how to take the cash: A lump sum payment in 22 years of $5 million dollars o Annual payments of $140,000 for 20 years o $1 million dollars today, and $1 million dollars again in six years Interest rates are 4%. Which option would you prefer? Show all your work - a lump sum payment in 22 years of $5 million dollars
- annual payments of $140,000 for 20 years
- $1 million dollars today, and $1 million dollars again in six years
Interest rates are 4%
Which option would you prefer? SHOW ALL YOUR WORK
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