Your friend just won the Pennsylvanialottery. She has the choice of $15,000,000 today or a 20-year annuity of $1,050,000, with the first payment coming one year from today. What interest rate makes her indifferent between the two options

3.44%

Explanation:

The interest rate that makes her indifferent is the rate that equates the present value (PV) of the annuity to $15,000,000, the amount receivable in the first choice.

Where A = equal annual payment = $1,050,000

n = 20 years

Using a financial calculator or interpolation, the value of r that solves the equation is 3.443209% or approximately 3.44%.

answer; management is about coping complexity and leadership is about coping with change; i believe this is correct; ///good luck                                          

(b) management: leadership

the correct answer is economics is a game without winners or losers.

unlike sports or games economic is a game without losers or winner rather it is a game where everyone wins. parties of business doing businesses exchange money with each other and hence exchange is done on the basis of goods. one party takes the goods and other sales it so there is winner on both sides. each party values more highly the good it gets than the good it gives up. both sides exchange only because both intend to increase their value. so there is no concept of lose or win.