What will be value of the remaining payments

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Reference no: EM131607954

You win the lottery and select the option to receive 20 annual payments of one million dollars (an ordinary annuity). If today is January 1, 2018, and the first payment is made January 1, 2019, what will be the value of the remaining payments as of January 2, 2030 if the interest rate is 5%? (Hint: use the ordinary annuity formula with the number of payments remaining from January 2, 2030 until the 20th overall payment.)

Reference no: EM131607954

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