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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

  • accounting -

    PV = paym( 1 - (1+i)^-n)/i

    = 10000(1 - 1.08^-10)/.08
    = $ 57,466.39

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