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Congratulations! You have won the Lottery For Life and are the proud winner of $1,000 per week for the rest of your life!! You have the option of accepting a cheque for $1000 per week until you die, or reach the age of 75, whichever comes sooner. Alternatively, you may accept a cash payout of $2 million now.5 K! v" V( M4 t) R4 z% X* G3 t4 H
a) Calculate the amount of money that the Alberta Lottery Corporation must keep in the bank to be able to pay the weekly prize.
, ^6 i3 Z- `* l0 FAssume the following:, P7 `& o$ y( k$ R" c! q
- r = 0.06 (6 percent)
0 x/ p, C. N- C% x' I- Interest is paid annually to the Lottery Corporation |
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发表于 2010-1-24 22:43
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