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Congratulations! You have won the Lottery For Life and are the proud winner of $1,000 per week for the rest of your life!! You have the option of accepting a cheque for $1000 per week until you die, or reach the age of 75, whichever comes sooner. Alternatively, you may accept a cash payout of $2 million now.
8 a; Q4 ^" Y- {a) Calculate the amount of money that the Alberta Lottery Corporation must keep in the bank to be able to pay the weekly prize.) v6 d( X+ b$ M, ?" S
Assume the following:
# n- g$ Z4 @& Y9 x h1 e& I- r = 0.06 (6 percent)
- W4 k6 y, `. y9 C- Interest is paid annually to the Lottery Corporation |
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发表于 2010-1-24 22:43
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