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Marcus has won a $1,000,000 state lottery. He can take his prize as either 25 yearly payments of $40,000 or a lump sum of $315,000. Which is the better option?
Assume an interest rate of 12%
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Select the correct choice below and, if necessary, fill in the answer box to complete your choice.
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OB. The present value of the lottery winnings is this is worse than the lump sum of $315,000.
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O C. The present value of the lottery winnings is the same as the lump sum of $315,000
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Ospitals with lo
26 of 30 (23 complete)
HW Score: 69.6%, 20.88 of 30 pts
nsequently su...
HW Score: 69.6%, 20.88 of 30 pts
nsequently su...
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