Several years ago, a man won $27 million in the state lottery. To pay off the winner, the state planned to make an initial $1 million payment today followed by equal annual payments of $1.3 million at the end of each year for the next 20 years. Just before receiving

any money, the man offered to sell the winning ticket back to the state for a one-time immediate payment of $14.4 million.

If the state uses a 6%/year MARR and a future worth analysis, should it accept the man's offer?

What is the future worth of the state's original 20-year plan? $

What is the future worth of the man's one-time offer? $

Carry all interim calculations to 5 decimal places and then round your final answer to the nearest whole number (in millions of dollars). The

tolerance is ±2.