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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 $2 million now.5 |3 H" E. f# o) y
a) Calculate the amount of money that the Alberta Lottery Corporation must keep in the bank to be able to pay the weekly prize.( I( s* ` s$ O/ t4 I" i
Assume the following:; n4 t, r+ K ]' R1 Z$ g
- r = 0.06 (6 percent)
b) j n( b5 k" [1 ~9 B- K0 z- Interest is paid annually to the Lottery Corporation |
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发表于 2010-1-24 22:43
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