A prize pays $15,000 each quarter for 4 years (16 payments)commencing in exactly 6 months’ time. If the appropriate discount rate is 8.9% p.a compounding quarterly, the value of the prize today is (round to nearest cent; don’t use $ sign or commas):

Select one:

a. $195727.07

b. $200082.00

c. $2222068.07

d. $44722.37

Answer rating: 100% (QA)

This can be solved using the present value of annuity payments formula Present value of annuity ... View the full answer