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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 $2 million now.& N6 @3 }2 n) r% V% h9 v4 J1 D+ u
a) Calculate the amount of money that the Alberta Lottery Corporation must keep in the bank to be able to pay the weekly prize.
1 R: y6 o1 G' {& R0 Q6 sAssume the following:7 X1 [7 c- J: v5 @( u/ O. c
- r = 0.06 (6 percent)$ s) \* f" ~& s, z+ m( V: j
- Interest is paid annually to the Lottery Corporation |
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发表于 2010-1-24 22:43
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