Exactly 11 years ago, you deposited $2544 into an account and promptly forgot about it. Today, you find the original confirmation letter while cleaning out your desk and find that your account has grown to $5233! What is your annual rate of return over the last 11 years? Submit your answer as a percentage and round to two decimal places (Ex. 0.00%).

Congratulations! You are the proud winner of the multi-state Sour Ball Lottery. You are to receive $2,000,000 at the end of each year for the next 25 years. While the Lottery Commission refers to this as a $50,000,000 jackpot, if you choose the "cash option" they will give you much less than that; you can receive a lump sum payment today equal to the present value of the ordinary annuity instead of the 25 annual payments. If the discount rate that the Lottery Commission uses to determine the lump sum payoff is 3.1%, what is your payoff if you select the cash option? Round to two decimal places (Ex. $00.00)

Answer rating: 100% (QA)

For the first question The formula for compound interest is A P1rnnt where A the ending amo... View the full answer