Business, 27.09.2019 02:00 ahhhhhhhh5509

Suppose you won a $75,000 after-tax cash prize in the lottery. you want to start a new business that you think will lose money for a while, after which it will be up and running and bringing in big bucks. you plan to invest the funds immediately in securities that are expected to earn 10% per year. suppose you would need only $20,000 per year during the start-up period. how long could you operate before you would require cash from the new business, i. e., how long could you receive payments of $20,000 per year? the first withdrawal will be made a year from today, and your answer will contain a fraction of a year.

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Suppose you won a $75,000 after-tax cash prize in the lottery. you want to start a new business that...

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