What is the amount that sarah should accept in scenario

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Problem 1: Sarah just won a settlement with an insurance company, which entitles her to receive payments of $39,835 at the beginning of each year for the next 5 years. Her financial advisor recommended to her that she consider accepting a lump-sum payment now, using a discount rate of 3.30%. What is the amount that she should accept in this scenario?

Reference no: EM132956209

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