Finance Question about present value?

Question

You recvd 50,000 a year begining one year from now for 20 yrs. Your required rat is 10% what is the present value of your lottery ticket?

I think it's 418,250?? Did I calculate wrong?

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Given the following financial data :

net income/sales=6%

sales/total assets= 3.5

debt/total assets= 30%

the return on total assets would be

21% or 31% or am I totally off base?

Answer 1

The total present value of a stream of cash flows for 20 yrs starting from the end of the first year, discounted at a required rate of return of 10%, is $425,678.20. You were close but I think you left out the cash flow from the very last year (the 20th).

The ROA is calculated as (net income / sales) * (sales/ assets) = 6% * 3.5 = 21%.