Suppose the winner of a $10,000,000 sweepstakes will be paid $200,000 per year for 50 years, starting a year from now. The money earns 6% interest per year. The present value of the winnings is Compute the present value using the formula for the nth partial sum of a geometric series. Round your answer to two decimal places.
A) $10,542,883.62
B) $3,323,509.25
C) $7,028,589.08
D) $2,556,671.23
E) $3,152,372.13

Question

Suppose the winner of a $10,000,000 sweepstakes will be paid $200,000 per year for 50 years, starting a year from now. The money earns 6% interest per year. The present value of the winnings is  Compute the present value using the formula for the nth partial sum of a geometric series. Round your answer to two decimal places.
A) $10,542,883.62 
B) $3,323,509.25 
C) $7,028,589.08 
D) $2,556,671.23 
E) $3,152,372.13

Quizplus · Accepted Answer

The Answer of Suppose the winner of a $10,000,000 sweepstakes will be paid $200,000 per year for 50 years, starting a year from now. The money earns 6% interest per year. The present value of the winnings is  Compute the present value using the formula for the nth partial sum of a geometric series. Round your answer to two decimal places.
A) $10,542,883.62 
B) $3,323,509.25 
C) $7,028,589.08 
D) $2,556,671.23 
E) $3,152,372.13

Suppose the Winner of a $10,000,000 Sweepstakes Will Be Paid