Present value of lottery winnings-sam hill

Assignment Help Finance Basics
Reference no: EM132648573

Sam Hill has just won the state lottery, paying $250,000 a year for the next 30 years. Sam will receive his first payment today. If the interest rate is 3%, what is the present value of his lottery winnings? (Enter a positive value and round to 2 decimals)

Reference no: EM132648573

Questions Cloud

Compare business continuity and disaster recovery : Compare and contrast business continuity and disaster recovery. Provide at least three full paragraphs on the subject. You must cite at least one scholarly.
Discuss manufactures produce goods but not services : Manufacturing and service entities are easily distinguishable from each other. Manufactures produce goods but not services." Discuss.
Evaluate the financial strength of each of the three company : Evaluate the financial strength of each of the three companies BHP Ltd, Santos Ltd and Funtastic Ltd based on evidence presented in the Statement of Cash Flow
Compute Cougar book income or loss : Cougar's Form 1120S shows nonseparately stated ordinary income of $80,000 for the year. Compute Cougar book income or loss
Present value of lottery winnings-sam hill : Sam Hill has just won the state lottery, paying $250,000 a year for the next 30 years. Sam will receive his first payment today.
Desribe the database conceptualisation and design : Select any one functional area in a business organisation. Think about the data involved in the processes. Based on your selection, use an Entity Relationship.
What is the general rule for setting a transfer price : What is the general rule for setting a transfer price? Additional costs of the supplying division + opportunity cost to the buying division
Find real return on the stock market in year : Assume these were the inflation rates and U.S. stock market and Treasury bill returns between 1929 and 1933:
Calculate the present value of investment : The United Kingdom has a consol bond that pays a $50 coupon every 6-months (semi-annually), forever. If the next payment is

Reviews

Write a Review

Finance Basics Questions & Answers

  Explain short sales in the mortgage markets

Explain short sales in the mortgage markets. Are short sales fair to homeowners? Are they fair to mortgage lenders?

  How much money the firm can afford to payout

Next, use the formula to determine how much money (%) the firm can afford to payout to stockholders. You will also want to review the DuPont identity.

  Compute the net proceeds to the presley corporation

Compute the net proceeds to the Presley Corporation. (Do not round intermediate calculations and round your answer to the nearest whole dollar.)

  E bonds ibond ebond and savings note 50 100 500 and 5000

ee bonds ibond ebond and savings note 50 100 500 and 5000 and constuct a table showing your answers. in addition

  What interest rate is the mortgage company charging you

A mortgage company offers to lend you $85,000; the loan calls for payments of $8,538.98 at the end of each year for 30 years. What interest rate is the mortgage company charging you? Round your answer to two decimal places.

  What is the value of the lease

Payments are due on the first day of each month starting the day you sign the lease contract. If your cost of money is 5.45%, what is the value of the lease?

  Why are contingent assets and liabilities like options what

a futures contract is an agreement involving the future exchange of an asset for cash at a price that is determined

  What is the npv of this expansion project

a. What is the NPV of this expansion project? Should GSB purchase the new machine?

  What are the net operating cash flows in years

What is the Year-0 net cash flow? What are the net operating cash flows in Years 1, 2, and 3?

  What is the project change in accounts receivable

Project A has the following expected sales and operating costs (these do not include depreciation). The project will cost $210,000 at Time 0.

  What is the allocation rate

What is the allocation rate if hours of housekeeping services is used as the cost driver?

  Evaluate the risk of entering into a joint venture

If you were a financial analyst at Chevron, how might you use scenario analysis to evaluate the risk of entering into a joint venture in Argentina with YPF?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd