You just won $150,000 in the state lottery. Lottery rules do not allow a lump-sum payment. Instead,

Question:

You just won $150,000 in the state lottery. Lottery rules do not allow a lump-sum payment. Instead, the lottery will pay you $5,000 per year for the next 10 years, followed by payments of $10,000 per year for the next ten years. How much are your winnings actually worth today? The appropriate interest rate is 8% per year.