Accounting
posted by David .
What is an example of present value concept?
If you win the lottery, and they tell you will get 20,000 a year for 30 years. What is that worth in present dollars?
$36000.00
Respond to this Question
Similar Questions

math
find the present value of ordinary annuity payments of 890 each year for 16 years at 8% compounded annually What is the amount that must be paid (Present Value) for an annuity with a periodic payment of R dollars to be made at the … 
Calculus
OK I understand the concept present value but I don't understand how to solve for present value in this context: Assume that you won a local contest for which you gain a continuous income stream at a rate R(t)=5000e^0.1t per year for … 
Math
A lottery prize worth $1,000,000 is awarded in payments of $10,000 five times a year for 20 years. Suppose the money is worth 20% compounded five times per year. What is the formula used to find the present value of the prize? 
Finance
A state's lottery winner is promised $200,000 a year for 3 years(starting at the end of the first year). Interes rate is annually 7 percent on its fund. How much is the present value of this lottery? 
Finance
Suppose you just inherited a gold mine. This gold mine is believed to have three years worth of gold deposit. Here is how much income this gold mine is projected to bring you each year for the next three years: Year 1: $49,000,000 … 
Statistics
The state lottery claims that its grand prize is $1 million. The lucky winner will receive $50,000 upon presentation of the winning ticket plus $50,000 at the end of each year for the next 19 years. Why isn't this really a milliondollar … 
Statisics
The state lottery claims that its grand prize is $1 million. The lucky winner will receive $50,000 upon presentation of the winning ticket plus $50,000 at the end of each year for the next 19 years. Why isn't this really a milliondollar … 
Statisics
The state lottery claims that its grand prize is $1 million. The lucky winner will receive $50,000 upon presentation of the winning ticket plus $50,000 at the end of each year for the next 19 years. Why isn't this really a milliondollar … 
mathematics
the theoretical probability of winning the lottery is 1/1,000,000,000.which of the ff is true if you purchase a lottery ticket? 
accounting
You won a lottery which pays $10,000 per year for 10 years (at the end of each year). Assuming a discount rate of 8% calculate the present value of your expected winnings