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Home Q & A Board Other Fields Homework Help Business Management
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stranahan stranahan
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7 years ago
You have a choice between a lottery lump sum payout of $10,000,000 today or a series of twenty-five annual annuity payments (first payment one year from today). At a discount rate of 6.50%, how large must the annual annuity payments be to make you indifferent between the two choices?
A) $819,814.81
B) $769,779.17
C) $873,102.77
D) $400,000.00
Textbook 
Financial Management: Core Concepts

Financial Management: Core Concepts


Edition: 2nd
Author:
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flappunctualflappunctual
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7 years ago
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stranahan Author
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7 years ago
Thanks Smiling Face with Open Mouth and Tightly-closed Eyes
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