Multiple Choice
Your girlfriend just won the Florida lottery.She has the choice of $15,000,000 today or a 20-year annuity of $1,050,000, with the first payment coming one year from today.What rate of return is built into the annuity?
A) 3.44%
B) 3.79%
C) 4.17%
D) 4.58%
E) 5.04%
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q137: A U.S.Treasury bond will pay a lump
Q138: You have $5,000 invested in a bank
Q139: As a result of compounding, the effective
Q140: An uncle of yours who is about
Q141: The store where you bought new home
Q143: Some of the cash flows shown on
Q144: Your uncle just won the weekly lottery,
Q145: Pacific Bank pays a 4.50% nominal rate
Q146: Your bank pays 4% interest annually.You have
Q147: Your father is considering purchasing an annuity