Cash option or the annual payment option

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Reference no: EM131084245

Rinoa won a lottery. She will have a choice of receiving $30,000 at the end of each year for the next 20 years, or a lump-sum payment of $200,000 today. If she can earn a return of 12 percent on any investment she makes, should she choose the cash (lump-sum) option or the annual payment option?

Reference no: EM131084245

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