Problem
The first lottery payment in Problem 3.27 will not be received until the end of the third year. What is the present worth if the interest rate is 12%?
Problem 27
A lottery pays the winner $1 million, in 20 equal payments of $50,000. The payments are received at the end of the year, and the winner's interest rate is 12%. What is the present worth of the winnings?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.