You have just won the lottery and will receive $480,000 in one year. You will receive payments

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You have just won the lottery and will receive $480,000 in one year. You will receive payments for 29 years, which will increase 5 percent per year. The appropriate discount rate is 11 percent.

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What is the present value of your winnings?

$23,274

$32,083,598

$6,147,204

$32,083,598

$6,403,337

Related Book For answer-question

Fundamentals of corporate finance

ISBN: 978-0073382395

9th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Posted Date: Mar 06, 2024 12:08 AM

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You have just won the lottery and will receive $480,000 in one year. You will receive payments

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Fundamentals of corporate finance

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