How much is the lottery really worth? you have to be careful about money. lottery winners sometimes think they are millionaires when in fact they are not as rich as they think. suppose a state runs a lottery in which the grand prize is $1 million dollars. what that means is that the winner is paid $1 million dollars continuously over the next 20 years. assuming that banks pay interest of 10% on borrowed money over the next 20 years, how much is the lottery worth in today's dollars? hint: letting t denote time in years, first solve s' = 0.10s - 50,000, s(0) = so, and then set s(20) 0 and solve for so

The federal reserve controls certain interest rates in the united states. investors often try to speculate as to whether the federal reserve will raise or lower rates and by how much. suppose a company conducts extensive interviews with financial analysts, and as a result, predicts that "thefed" will increase rates by an average of 0.25 percentage points every six months for the forseeable future. which type of equation could be used to model the predicted interest rates over the next several years, assuming no other significant changes? a) a linear equation b) a quadratic equation c) a polynomial equation d) an exponential equation