Question: You May Use Excel For This Problem! Complete Both Parts for Thumbs Up! Thanks Total of Annual Payments $850,000 The Annual Payment $45,000 Total #

You May Use Excel For This Problem! Complete Both Parts for Thumbs Up! Thanks

Total of Annual Payments	$850,000
The Annual Payment	$45,000
Total # Annual Payments	20
Interest Rate	5.5%
First Annual Payment = Immediate

You Win the Lottery Yay! You may take the choice of receiving annual payments with the first payment being immediate or take a "lump sum" that is paid immediately based on the present value.

a) Draw Cash Flow with values of the repetitive annual payments

b) Calculate "Lump Sum" Amount

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