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# Help pls

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Don won the “Cash for Life” lottery and will receive a $1000 per week for the next 25 years. How much must the lottery corporation invest today into an account that pays 4% compounded weekly to provide Don with the prize? Jun 25, 2021 ### 1+0 Answers #1 +152 +3 tricky line google says there are approx 52 weeks in a year; knowing that we can find how much they are paying in a year:$1000 \times 52 = 52000$$we can also approx find how much they are going to pay for 25 years:  52000\times 25= 1300000$$

we know that the compounded interest formula is   $A=P\left(1+\frac{r}{n}\right)^{n t}$  where $P$ is the ammount that is getting invested, which means we have to solve for it:

$A=P\left(1+\frac{r}{n}\right)^{n t} \ \ \Rightarrow \ \ \ \ \ P= \frac{A}{\left(1+\frac{r}{n}\right)^{nt}}$

we have $A=1300000$$;$  n=52 $;$  t=25  $;$r=4\% \ \ \Rightarrow \ \ \ r=0.o4$just plug and chug at this point:$P=\frac{1300000}{\left(1+\frac{0.4}{52}\right)^{52\times 25}}  P=\frac{1300000}{(1.0076923)^1300}   P=\frac{1300000}{21199}   P=61\frac{6861}{21199}  $or$ P=61.6861  \$

Jun 25, 2021