Winning Lottery: Jake is the proud winner of the Powerball, lucky Jake! He decides instead of blowing the money, he wants to invest the winnings. Jake devises a plan to invest the lottery money at an annual rate of 5%
a. Would it be wise to accept the upfront payment of $250 million or should Jake take the annual value of $500 million paid over 20 years?
b. Is there an interest rate that both earnings are worth the same?