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You win a lottery that will pay you $120,000 per month for 12 months, starting 1 month from now. What is the value of the lottery now if your interest rate is 5.5% p.a. compounded monthly?     $1,398,002.04     $1,034,222.14     $1,401,746.64     $1,396,508.24

You win a lottery that will pay you $120,000 per month for 12 months, starting 1 month from now. What is the value of the lottery now if your interest rate is 5.5% p.a. compounded monthly?     $1,398,002.04     $1,034,222.14     $1,401,746.64     $1,396,508.24

Essentials Of Investments
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
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13.

  1. You win a lottery that will pay you $120,000 per month for 12 months, starting 1 month from now. What is the value of the lottery now if your interest rate is 5.5% p.a. compounded monthly?

       

    $1,398,002.04
       

    $1,034,222.14
       

    $1,401,746.64
       

    $1,396,508.24
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