You have just won your state's big lottery, the Mega Power Pick 61 The jackpot is $250,000,000 You have the option of receiving a $12,500,000 at the end of each of the next 20 years. You would receive the first check in a year. The state lottery commission also a you the option of receiving a one-time payment of $155,777,629 when you turn in the winning ticket. What interest rate is the state l commission using to determine the one-time payment? (Use the present value and future value tables, a financial calculator, a sprea or the formula method for your calculations. If using present and future value tables or the formula method, use factor amounts roun five decimal places, X XXXXX Round the interest rate to the nearest whole percent) The state lottery commission is using a(n) % interest rate annually to determine the one-time payment.

You have just won your state's big lottery, the Mega Power Pick 61 The jackpot is $250,000,000 You have the option of receiving a $12,500,000 at the end of each of the next 20 years. You would receive the first check in a year. The state lottery commission also a you the option of receiving a one-time payment of $155,777,629 when you turn in the winning ticket. What interest rate is the state l commission using to determine the one-time payment? (Use the present value and future value tables, a financial calculator, a sprea or the formula method for your calculations. If using present and future value tables or the formula method, use factor amounts roun five decimal places, X XXXXX Round the interest rate to the nearest whole percent) The state lottery commission is using a(n) % interest rate annually to determine the one-time payment.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Kk.384.

You have just won your state's big lottery, the Mega Power Pick 61 The jackpot is $250,000,000 You have the option of receiving a check for
$12,500,000 at the end of each of the next 20 years You would receive the first check in a year. The state lottery commission also allows
you the option of receiving a one-time payment of $155,777,629 when you turn in the winning ticket. What interest rate is the state lottery
commission using to determine the one-time payment? (Use the present value and future value tables, a financial calculator, a spreadsheet
or the formula method for your calculations. If using present and future value tables or the formula method, use factor amounts rounded to
five decimal places, XXXXXX Round the interest rate to the nearest whole percent)
The state lottery commission is using a(n)
% interest rate annually to determine the one-time payment.

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