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Business, 15.04.2020 01:32 toya96

Suppose you win a lottery. You have two choices for receiving the money. Choice 1: $50 000 at the end of each year for 20 years Choice 2: $500,000 now If current interest rates are approximately 8% p. a. compounded yearly, which is the better choice. Justify your answer with a clear solution and explanation.

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