You have just received notification that you have won the $1.25 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100ᵗʰ birthday, 79 years from now. The appropriate discount rate is 6.4 percent. What is the present value of your winnings?
A) $11,288.16
B) $9,300.82
C) $10,309.91
D) $8,333.33
E) $10,500.00

Question

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The Answer of You have just received notification that you have won the $1.25 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100ᵗʰ birthday, 79 years from now. The appropriate discount rate is 6.4 percent. What is the present value of your winnings?
A) $11,288.16
B) $9,300.82
C) $10,309.91
D) $8,333.33
E) $10,500.00

You Have Just Received Notification That You Have Won the $1.25