Camosun College has just received a donation of $50,000. The donor has stipulated that the funds should be used to fund an ongoing annual bursary with the first payment given out in one year. If the money is invested into an account earning 3.71% compounded annually (j1), how much will the annual bursary be?
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- A fund is to be donated by a wealthy man to provide annual scholarships to deserving students. The fund will grant P120,000 each year for the first 5 years, P 30,000 per quarter for the next 5 years and P10,000 each month thereafter. The scholarship will start one year after the fund is established. What is the amount of the donation if i = 12% compounded annually?A wealthy donor wants to establish a scholarship that pays an award of $1,000 in perpetuity at the end of each year. The first award will be in three years. How much money must she set aside today in order to fund the bursary? Assume that the money will earn a nominal interest rate of 4% compounded annually.A man wishes to donate immediately to a University sufficient money to provide for the erection and maintenance, for the next 50 years of a building which will cost $ 500,000 to erect and will require $ 1000 at the end of each month to maintain. How much should he donate if the University is able to invest its funds at 8% compounded semi-annually?
- Determine the amount of money required to set up a charitable endowment that pays the amount P each year indefinitely for the annual interest rate r compounded continuously. P = $13,000, r = 6% STEP 1: We start with the present value of a perpetuity, which is defined as follows. Present value = P r Here, represents the size of each annual payment in dollars, and represents the annual interest rate. STEP 2: Calculate the present value. (Round your answer to two decimal places.)A donor gives $100,000 to a university, and specifies that it is to be used to give annual scholarships for the next 20 years. If the university can earn 4% interest, how much can they give in scholarships each year?A charity will be donated by a wealthy man to provide annual scholarships to deserving students. The charity will grant $120,000 each year for the first 5 years, $30,000 per quarter for the next 5 years and $10,000 each month thereafter . The scholarship will start one year after the fund is established. What is the amount of the donation if i = 12% compounded annually?
- Greendale Community College has established a scholarship that will provide awards at the start of every 6 months for the foreseeable future. To fund these, $1,470,000 is being placed in a trust fund earning 9.0% compounded annually. How much is each scholarship payout? $0.00 Round to the nearest centYou plan to set up an endowment at your alma mater that will fund $180,000 of scholarships each year indefinitely. If the principal (the amount you donate) can be invested at 6.4 percent, compounded annually, how much do you need to donate to the university today, so that the first scholarships can be awarded beginning one year from now? (Round answer to 2 decimal places, e.g. 52.75.)A generous donor has offered to fund a scholarship at UTP worth RM120,000 per year beginning in year 3 and continuing indefinitely. Determine how much the donor must provide right now if the UTP's donation earns 8% per year.
- Don Solomon wants to set up a scholarship program with his alma mater. If P941498 is needed per year for the scholars, how much must he invest today at 1.7% compounded annually to fund the scholarship program in perpetuity? Round your answer to 2 decimal places.The Pithybottoms want to make a donation to set up a scholarship trust fund at Hinose College. The fund is to support payments of $5,000 at the end of every three months in perpetuity. If the fund earns 7.5% compounded quarterly, how much must they donate?A donor established a scholarship that will pay $15,000 per year to a Kelley student. The scholarship will be awarded for the first time in September of 2023 (i.e., the first payment occurs three years from now). The donor decides that the scholarship should be provided in perpetuity. The IU Foundation manages investments like this for the Business School. The Foundation anticipates earning an APR of 5.6% per year on the invested funds. What is the amount of the donation that must be given to the IU Foundation today to endow this Kelley scholarship?