Multiple Choice
You will buy a lottery ticket.If you win,you have a choice of receiving $995,000 now or three equal end-of-year payments of $400,000.You should take the payments
A) because $1,200,000 is greater than $995,000.
B) if you earn 20% or more on your investments.
C) if you earn 11% or more on your investments.
D) if you earn less than 10% on your investments.
Correct Answer:
Verified
Correct Answer:
Verified
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