Multiple Choice
Suppose you just won the state lottery, and you have a choice between receiving $2,550,000 today or $250,000 a year for 20 years, with the first payment starting one year from today. What annual interest rate does the second choice provide?
A) 7.12%
B) 7.49%
C) 7.87%
D) 8.26%
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q80: Which of the following statements is correct,
Q81: The further in the future you receive
Q82: When the discount rate:<br>A) decreases, the present
Q83: Jack Palomo has deposited $2,500 today in
Q84: Steve Fisher is saving for a new
Q86: Your uncle is looking to double his
Q87: Your bank account pays a 6% annual
Q88: The lower the discount rate, the lower
Q89: You just deposited $2,500 in a bank
Q90: Your tuition for the coming year is