please help
Max has just won some money on a game show! He has the option to take a lump sum payment of $500,000 now or get paid an annuity of $4,900 per month for the next 10 years. Assuming the growth rate of the economy is 2.9% compounding annually over the next 10 years, which is the better deal for Max and by how much?

Lump Sum: by $77,462.75

Lump Sum: by $4,145.41

Annuity: by $88,000.00

Annuity: by $4,145.41

Question

please help
Max has just won some money on a game show! He has the option to take a lump sum payment of $500,000 now or get paid an annuity of $4,900 per month for the next 10 years. Assuming the growth rate of the economy is 2.9% compounding annually over the next 10 years, which is the better deal for Max and by how much?
 
Lump Sum: by $77,462.75 

Lump Sum: by $4,145.41 

Annuity: by $88,000.00 

Annuity: by $4,145.41

anonymous · Answer

@amistre64 @mathmate @ivettef365 @NaCl

anonymous · Answer

http://www.calcxml.com/calculators/lump-sum-or-payments

anonymous · Answer

Can you help me type it in @NaCl

anonymous · Answer

I got Annuity: by $88,000.00