e people shared the largest payout in lottery history of 1.5 billion dollars (500 million a piece). If one of them decided to take the cash out option of 327 million, this quantity is known as: (a) the monthly payment of the 500 million dollars of payments (b) the present value of the 500 million dollars of payments (c) the future value of the 500 million dollars of payments (d) this numb

Q: In 1895, the first Putting Green Championship was held. The winner’s prize money was $250. In 2010,…

A: Prize money in 1895 (V0) = $ 250 Prize money in 2010 (V1) = $ 1,450,000 Period from 1895 to 2010 (N)…

Q: An individual wants to deposit $112,100 into two investment accounts. One account pays 66% annual…

A: Note: Assuming, the question has repeated rate of return displayed, hence taking 6% and 15%, other…

Q: Jose wants to set up a 10 year GRAT and does not want to have a taxable gift. He wants to transfer…

A: Present value factor = 1/(1+r)^nr= Interest raten = Number of years.Annuity payment = Contribution /…

Q: On January 1, you win 5,000000 in the state lottery. The 5,000,000 prize will be paid in equal…

A: Present value of winnings = Annual installments  x Present value of an annuity of $1 (5%, 10 years)

Q: This exercise compares the future value of investing an amount of money in different time frames. A…

A: The future value of the annuity is the future worth of a cash flow series at a certain rate of…

Q: Mr Ali has an option of investing in one project from the proposed three different projects. The…

A: The payback period is the overall expected time required to recover the cost of capital investment…

Q: In 1896, the first Green Jacket Golf Championship was held. The winner's prize money was $200. In…

A: >Please follow below explanation for solution

Q: purchased a 10-year $200,000 variable annuity that based its rate of return the performance of a…

A: Th amount to be received from the annuity each month depends on interest rate earned  by the fund…

Q: You hold a winning ticket from your provincial lottery. It entitles the bearer to receive annuity…

A: An annuity is a financial product that provides a fixed stream of payments to an individual over a…

Q: Juan Garza invested $20,000 10 years ago at 12 percent, compounded quarterly. How much has he…

A: Future value = Amount invested *(1+rate/n)N*no of years  where n is no of compounding periods

Q: Use TVM keys, N, I/Y, PV, PMT, FV Phil Nelson won the $750,000 lottery and would like to be paid in…

A: An annuity refers to a series of equal payments made at regular intervals.The Present Value (PV) of…

Q: None

A: Present value:Present value is popularly known in short as PV. It is a concept of accounting that…

Q: You have just received notification that you have won the $1 million first prize in the Centennial…

A: Prize won = $1 million Years till the prize is paid = 71  Discount rate = 9%

Q: he lottery commission is offering the winner of a recent jackpot a payout of 15 yearly payments…

A: 1.Present value of annuity.PV = A*wherePV = present value of annuityA = periodic paymentsr =…

Q: Your coin collection contains 50 1952 silver dollars. Required: If your grandparents purchased them…

A: Introduction:The value of collection is $26,595.04.Future value refers to value of an asset or the…

Q: In 1895, the first Putting Green Championship was held. The winner's prize money was $150. In 2016,…

A: Step1: Calculating the value of percentage increase per year in the winner’s check over this period.…

Q: The Good Fairy has offered to give you $1,000,000 in 20 years. She has volunteered to deposit the…

A: Present value is calculated by following formula:- PV = FV(1+r)n where , PV = Present value  FV =…

Q: On January 1. you win $60.000.000 in the state lottery. The $60.000.000 prize will be paid in equal…

A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS  Solution:  Present value of winnings:  Payment…

Q: Mr. Clifton Chen, aged 39, recently purchased an endowment plan from an insurer that requires him to…

A: Annuity payments :It is a number of periodic payments made to an individual over a fixed period of…

Q: The winner of a multistate mega millions lottery jackpot worth $175 million was given the option of…

A: Here, Payment = PMT = -$7 Present value  = PV = 109.355 Nper = Number of years = 25 I/Y = Rate =?

Q: 3: A lottery winner has a decision between a lump sum of $1,000,000 or a 20 year annuity of $100,000…

A: The lump sum amount is $1,000,000. The annual payment is $100,000. The rate of interest is 5%. The…

Q: Jake won $350,000 in the lottery! He will receive $35,000 each year at the beginning of each of the…

A: The objective of this question is to calculate the present value of the lottery winnings. The…

Q: Mark Harris borrowed some money from his friend and promised to repay him $1,250, $1,340, $1,490,…

A: Solution- Amount borrowed =The present value of the promised repayments at end of…

Q: Morgan has $500,000 accumulated in her RRSP and intends to use the amount to purchase a 20-year…

A: Nominal rate of return is the stated rate of return on investment without considering expenses like…

Q: Troy will receive $8,678 at the end of Year 2. At the end of the following two years, he will…

A: Solution:When an amount is deposited somewhere, it gets interest on it.The amount initially…

Q: In a book named Treasure, the reader has to figure out where a 2.2 pound, 24 kt gold horse has been…

A:

Q: On January 1, you win $60,000,000 in the state lottery. The $60,000,000 prize will be paid in equal…

A: Given, Lottery to be received in 10 Installments at the end of Each year   R = Interest Rate = 6%…

Q: On January 1, you win $5,000,000 in the state lottery. The $5,000,000 prize will be paid in equal…

A: Given that: Instalment amount = $500,000 Period = 10 years Interest rate = 6%

Q: Suppose you just won the state lottery, and you have a choice between receiving $2,515,000 today or…

A: Variables in the question:PV=$ 2515000PMT=$220000N=20 year

Q: (Related to Checkpoint 6.2) (Present value of annuity payments) The state lottery's million-dollar…

A: Variables in the question:PMT=$40000 First payment of $40000 is made immediatelynper=24a) Discount…

Q: Cheyenne Inc. has $470,000 to invest. The company is trying to decide between two alternative uses…

A: In this question, we need to determine the interest rate provided by both the options and choose the…

Q: A $1.2 million state lottery pays $5,000 at the beginning of each month for 20 years. How much money…

A: (a)  An ordinary annuity is an annuity in which payments are made at the end of each period. An…

Q: A winner of the state lottery was given two choices: receive a single lump sum payment now of $50…

A: The uniform payment will be determined in way that the present value of all the uniform payments…