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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 $2 million now., h" L6 r: P1 C0 u1 H
a) Calculate the amount of money that the Alberta Lottery Corporation must keep in the bank to be able to pay the weekly prize.
% j" Z1 v4 ~9 M# d v5 jAssume the following:
b6 T0 z0 d1 R# A" w- r = 0.06 (6 percent)
9 U. f, T; ], h$ H v- Interest is paid annually to the Lottery Corporation |
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发表于 2010-1-24 22:43
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