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 $2 million now.! `$ m7 w2 b+ J' u
a) Calculate the amount of money that the Alberta Lottery Corporation must keep in the bank to be able to pay the weekly prize. 8 e: a9 ?/ v$ LAssume the following: # I. H% F# v) Z% r2 @3 ~- r = 0.06 (6 percent). J8 V0 H* @& [
- Interest is paid annually to the Lottery Corporation