Answer:
The present value is $1359.24
Explanation:
Giving the following information:
You have just received notification that you have won the $2.15 million first prize in the Centennial Lottery.
You will receive the price 65 years from now. The interest rate is 12%.
We need to use the following formula:
PV= FV/(1+i)^n
PV= 2150000/(1.12^65)= 1359.24