Please help!!?

Question

Suppose you have a winning sweepstakes ticket and you are given the
option of accepting $250,000 three years from now or taking the
present value of the $250,000 now. The sponsor of the prize uses a
7% discount rate. If you elect to receive the present value of the
prize now, the amount you will receive is

Answer 1

Present Value (PV) = V * (1 - discount rate)
PV = $250,000 * (1.00 - .07)
PV = $250,000 * (.93)
PV = $232,500