John has just won a competition paying £50,000 a year for 20 years. He is to receive his first payment a year from now. The completion organizers advertise this as the Million Pound Competition because £50,000*20-£1,000,000. If the interest rate is 8 per cent, what is the true value of the prize? £480,900 £450,950 £490,900 £550,500 £940,900
