Question: John won a lottery that will pay him $500,000 at the end of each of the next twenty years. Zebra Finance has offered to purchase

John won a lottery that will pay him $500,000 at the end of each of the next twenty years. Zebra Finance has offered to purchase the payment stream for $6,795,000. What interest rate (to the nearest percent) was used to determine the amount of the payment?
a. 7%
b. 6%
c. 4%
d. 5%

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