You just won the NJ lottery, and you selected the after-tax one lump sum option. Your relatives
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Question:
You just won the NJ lottery, and you selected the after-tax one lump sum option. Your relatives are very curious about the prize. Your answer was as follows. “I plan to use it for 30 years. At the end of the first year, I’ll withdraw $35,000. Each year after that, I’ll increase my annual withdrawal by 3.5 percent. I earn 5.5 percent on my savings.” Can you guess what the after-tax lump sum amount is?
$806,504.10
$834,731.8
$791,214.9
$764,458.87
$508,681.1
Related Book For
Mathematical Applications for the Management Life and Social Sciences
ISBN: 978-1305108042
11th edition
Authors: Ronald J. Harshbarger, James J. Reynolds
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