The $45 million lottery prize that you have just won actually pays out $4.5 million a year for 20 years. The interest rate is a. If the first payment comes after 1 year, what is the present value of your winnings? Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places. b. What is the present value if the first payment comes immediately? Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places. Present value b. Present value million milion

The $45 million lottery prize that you have just won actually pays out $4.5 million a year for 20 years. The interest rate is a. If the first payment comes after 1 year, what is the present value of your winnings? Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places. b. What is the present value if the first payment comes immediately? Note: Do not round intermediate calculations. Enter your answer in millions rounded to 2 decimal places. Present value b. Present value million milion

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 8EA: You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how...

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