Randy has been awarded some money in a settlement. He has the option to take a lump sum payment of $300,000 or get paid an annuity of $2,000 per month for the next 20 years. Which is the better deal for Randy, and by how much, assuming the growth rate of the economy is 5.65% per year?

Question

anonymous · Answer

@sarah786 @Destinymasha  @jojo4eva

anonymous · Answer

Lump Sum: by $23,606.12 

 Lump Sum: by $16,726.56 

 Annuity: by $23,606.12 

 Annuity: by $16,726.56

anonymous · Answer

http://openstudy.com/study#/updates/50fffc89e4b0426c63685cf3

anonymous · Answer

I looked at that and it doesn't help.

anonymous · Answer

really ? I tho its answered by an expert .

anonymous · Answer

at the bottom they decided that something was wrong with the problem and cant be solved

anonymous · Answer

Sorry @sydnoelle :(