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    Perpetuity, Annuity

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    An organization will raise funds for an endowment that will provide a Fund with $3,000,000 per year perpetuity. The endowment will be given at the end of the fifth year. The rate of interest is excepted to be 9 percent in all future periods. How much should be deposited each year to accumulate to the required amount ___

    $5,569.479, $3,333,333, $1,830,275, or $8,568,980

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    Solution Preview

    An organization will raise funds for an endowment that will provide a Fund with $3,000,000 per year perpetuity. The endowment will be given at the end of the fifth year. The rate of interest is excepted to be 9 percent in all future periods. How much should be ...

    Solution Summary

    The solution calculates annuity that will provide a Fund with $3,000,000 per year perpetuity.

    $2.19

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