Question: plz show work Problem 2: (10 points) You recently won a lottery from a national magazine firm. Upon announcing the winner, the entry officials notified
Problem 2: (10 points) You recently won a lottery from a national magazine firm. Upon announcing the winner, the entry officials notified you that you will be receiving 10 equal payments on $100,000/year over the next 10 years. A. If you receive the first payment at the end of the year and all other payments at the end of each year, and the appropriate discount rate is 6 percent, what is the present value of your winnings? (5pts) B. If you receive the first payment immediately and then all other payments at the beginning of each year, given the appropriate discount rate of 6 percent, what is the present value of your winnings? (5pts)
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