Anonymous
Anonymous asked in Science & MathematicsMathematics · 1 decade ago

I really need help with this math question?

The grand prize in an Illinois lottery is $6,000,000, which will be paid out in 20 equal annual payments of $300,000 each. Assume, the first payment of $300,000 is made, leaving the state with the obligation to pay out $5,700,000 in 19 yearly equal payments of $300,000 each. How much does the state need to deposit in an account paying 6% compounded annually to achieve this?

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  • 1 decade ago
    Favorite Answer

    3,347,434.95

    After the last payment is made, the state will be left with $0.01 left in the account!

  • Anonymous
    1 decade ago

    hey can u plz post this on http://www.tutorbuddy.org/ i will answer when u post

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