A lottery prize consists of annual payments of $5000 at the start of each year for 10
Question:
A lottery prize consists of annual payments of $5000 at the start of each year for 10 years. (The first payment will be made today.) What single lump sum payment today would represent an equivalent lottery prize in place of the scheduled 10 annual payments? Assume money earns 4.25% compounded annually.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (10 reviews)
Given PMT 5000 n 110 10 i 425 425 11...View the full answer
Answered By
ANDREW KIPRUTO
Academic Writing Expert
I have over 7 years of research and application experience. I am trained and licensed to provide expertise in IT information, computer sciences related topics and other units like chemistry, Business, law, biology, biochemistry, and genetics. I'm a network and IT admin with +8 years of experience in all kind of environments.
I can help you in the following areas:
Networking
- Ethernet, Wireless Airmax and 802.11, fiber networks on GPON/GEPON and WDM
- Protocols and IP Services: VLANs, LACP, ACLs, VPNs, OSPF, BGP, RADIUS, PPPoE, DNS, Proxies, SNMP
- Vendors: MikroTik, Ubiquiti, Cisco, Juniper, HP, Dell, DrayTek, SMC, Zyxel, Furukawa Electric, and many more
- Monitoring Systems: PRTG, Zabbix, Whatsup Gold, TheDude, RRDtoo
Always available for new projects! Contact me for any inquiries
4.30+
1+ Reviews
10+ Question Solved
Related Book For
Fundamentals Of Business Mathematics In Canada
ISBN: 9781259370151
3rd Edition
Authors: F. Ernest Jerome, Jackie Shemko
Question Posted:
Students also viewed these Mathematics questions
-
In this section's Application Preview, we considered the investment strategies of twins and found that starting early and stopping was a significantly better strategy than waiting, in terms of total...
-
The City of Bernard starts the year of 2010 with the following unrestricted amounts in its General Fund: cash of $20,000 and investments of $70,000. In addition, it holds a building bought on January...
-
Multiple Choice Questions Items 1 through 4 require use of present value tables. The following are the present value factors of $1 discounted at 8% for one to five periods. Each item is based on 8%...
-
Another liability that employers have is that of unemployment insurance. Class, let's talk about this a little more. At what levels are unemployment liabilities incurred? What are some additional...
-
Air enters the turbine of an Ericsson cycle at 1000 kPa and 1200 K, with a mass flow rate of 1 kg/s. The temperature and pressure at the inlet to the compressor are 250 K and 100 kPa respectively....
-
Whitmore Company issued $500,000 of 5-year, 8% bonds at 97 on January 1, 2019. The bonds pay interest annually. Instructions (a) (1) Prepare the journal entry to record the issuance of the bonds. (2)...
-
In the game of blackjack, also known as twenty-one, the player and the dealer are dealt one card face-down and one card face-up. The object is to get as close as possible to the score 21, without...
-
The adjusted trial balance of Honeyglazed Hams, Inc., follows. Requirement Prepare Honeyglazed Hams, Inc.s income statement and statement of retained earnings for the year ended December 31, 2012,...
-
how do large institutions try to localize problems and minimize crisis by associating them with a few bad people rather than a larger systemic problem?
-
Benson Manufacturing is considering ordering electronic components from three different suppliers. The suppliers may differ in terms of quality in that the proportion or percentage of defective...
-
Alison wants to rent a storage locker to store her possessions while she travels in Europe for the next year. The storage operator has quoted her a price of $118.50 per month, payable at the start of...
-
Calculate the amount that will be accumulated after 20 years if a. $1000 is invested at the beginning of every six months at 3.5% compounded semiannually. b. $2000 is invested at the beginning of...
-
Suppose there is a set of jobs to be processed at a resource. Shortest processing time always sequences the jobs in a different order than first-come-first-served. True or false? a. True b. False
-
Cameron is so happy with their building endeavours that he give Julie an antique dinning table for their home as a bonus. Carter pays for the table at a cost of $20,000 explain the tax implications...
-
Calculate the ES, EF, LS, and LF times and the slack for each activity.Identify the critical path for the project. Can the project be completed in 30 weeks?Assume that Systems Analysis actually...
-
Company W stands at the forefront of the aluminum industry as the leading producer in the world, which is exemplified through their divisions accounting for the inventory valuation under the LIFO...
-
Where should you go to request a higher direct deposit limit?
-
The country of Honduras has a population of 8.2 million. There were 7,172 homicide deaths there in 2014. a) Express the deaths per capita as a decimal. Round to 6 decimal places. b) Express the...
-
Which of the following are based on an ability to pay? Explain. a. State Y collects a sales tax of 5% on all purchases of goods and services. b. State X collects a sales tax of 5% on all purchases of...
-
What is the difference between direct materials and indirect materials?
-
Refer to Exercise 3.67. Calculate the coefficient of determination and the least squares line. Is this more informative than the scatter diagram?
-
Compute the coefficient of determination and the least squares line for Exercise 3.64. Compare this information with that developed by the scatter diagram alone.
-
Refer to Exercise 3.59. Compute the coefficients of the least squares line and compare your results with the scatter diagram.
-
A baseball is thrown upward from the top of a building at an angle of 37 degrees above the horizontal and with an initial speed of 12 m/s. If the baseball is in the air for 5.75 seconds, how high is...
-
Pioneer Corporation has five - year bonds yielding 8 . 0 0 % . At this time, five - year treasuries are yielding 5 . 1 5 % . If r * = 3 . 0 % , IFL 5 = 1 . 7 5 % , and MP 5 is 0 . 1 9 % . What is the...
-
John purchased a new car in 2023 for a price of $37,000. If he claims first-year bonus depreciation, what is the greatest allowable depreciation deduction he may claim for the vehicle in 2023?
Study smarter with the SolutionInn App