The Winner of a "Ten-Million Dollar" Lottery Prize Is Actually

Multiple Choice

The winner of a "Ten-million dollar" lottery prize is actually entitled to payments of $33,333.33 at the end of every month for 25 years. The winner can select to receive a single lump sum payment equal to the present value of these payments calculated using a rate of 8.1% compounded monthly. What would be the amount of the single payment?

A) $9,190,000
B) $5,606,219
C) $4,282,000
D) $3,749,371
E) $1,328,950