package com.imsl.test.example.finance;

import com.imsl.finance.*;
import java.text.NumberFormat;

/**
 * <p>
 * Computes the net present value of a lottery prize using the stream of
 * payments as input.</p>
 *
 * A lady wins a $10 million lottery. The money is to be paid out at the end of
 * each year in $500,000 payments for 20 years. The current treasury bill rate
 * of 6% is used as the discount rate. Here, the net present value of her prize
 * is computed.
 *
 *
 * @see <a href="FinanceNpvEx1.java">Code</a>
 * @see <a href="doc-files/FinanceNpvEx1.out">Output</a>
 */
public class FinanceNpvEx1 {

    public static void main(String args[]) {
        double rate = 0.06;
        double[] value = new double[20];

        for (int i = 0; i < 20; i++) {
            value[i] = 500000.;
        }
        double npv = Finance.npv(rate, value);

        System.out.println("The net present value of the $10 million "
                + "prize is " + NumberFormat.getCurrencyInstance().format(npv));
    }
}