Problemyou have just won the lottery and will receive, Ask an Expert

Accounting

Problem:

You have just won the lottery and will receive $1,000,000 in one year. You will receive payments for 35 years and the payments will increase 3.1 percent per year.

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Question: If the appropriate discount rate is 7.1 percent, what is the present value of your winnings?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91168970

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