Alex Meir recently won a lottery and has the option of receiving one of the...
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Accounting
Alex Meir recently won a lottery and has the option of receiving one of the following three prizes:
$64,000 cash immediately, (2) $20,000 cash immediately and a six-period annuity of $8,000 beginning one year from today, or (3) a six-period annuity of $13,000 beginning one year from today. Assuming an interest rate of 6%, which option should Alex choose?
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