What is the size of the scholarship payments that students at a college would receive at the end of every quarter if $540,000 is invested in an endowment fund that is earning 4.20% compounded quarterly?

Q: How much must be deposited today into the following account in order to have a $135,000 college fund…

A: Present value = Future value/(1 + r)n   Future value = 135,000 Quarterly interest rate (r) = 3.16%/4…

Q: What is the payback if the investment is $22,000 and the after tax benefits are: Years 1 & 2 =…

A: Investment amount = $ 22,000

Q: If 14,000 dollars had been invested in the fictious fund on June 30, 1995, then on June 30, 2005 the…

A: A Compound Annual Growth Rate(CAGR) is the method in which we calculate the total return from an…

Q: d) A person invests $50,000 in an investment that earns 6 percent. If $6,000 is withdrawn each year,…

A: Step 1 The idea of the time value of money (TVM) holds that a quantity of money is worth more now…

Q: The following expenses will be incurred by company X: next year = P5Ok, 2015 = P70k , 2016 = P100k…

A: Calculation of Present value of expenses at end of year 2009

Q: Use the following to answer 19-20: You are going to receive a $16,000 scholarship at the end of 3…

A: "As per the Q&A guidelines, if multiple questions are asked at once then the answer for the…

Q: 3) equal deposits. The first deposit is made right now, the second, one year from now, and the…

A: Given data; amount needed to be accumulated = $ 25,000 Number of year= 3 interest rate = 5% deposits…

Q: What is the amount of the payments that Tom Brokaw must make at the end of each of 8 years to…

A: Amount required = $70,000 Interest Rate(r) = 8% Years(n) = 8 Let Annual Payments = P

Q: A company wants to give an endowment for a college. They wish to give $10,202.41 in perpetuity. What…

A: Perpetuity is termed as the equal stream of cash flows that pay for an infinite amount of time. The…

Q: )A businesswoman needs 55,000 in 10 years. What amount should be deposited in a fund at the end of…

A: Data given: FV= $55,000 Time (t) = 10 years Rate (r) = 10% compounded quarterly n= 4 Period = 10*4 =…

Q: 1. You decide to give SCU an endowment that will pay out $50 K per year forever, with a continuously…

A: Hello. Since you have posted multiple questions and not specified which question needs to be solved,…

Q: if you deposit $500/month into a college fund with APR 4.5%, how much do you have after 18 years…

A: The future value of an ordinary annuity is the accumulated value of an equal amount of deposits made…

Q: Deakin University wants to establish a trust fund that will provide a perpetual annual scholarship…

A: The notion of the present value asserts that an amount of money today is worth more than the same…

Q: If it cost $50,000 to attend a public university today, what would it cost to attend that same…

A: Future value can be defined as the monetary value of an asset on an individual date in future…

Q: A    rich donor gives a    hospital    $1,040,000    one year from today. Each year after that, the…

A: First donation (F) = $1,040,000 Growth rate (g) = 0.06 Interest rate (r) = 0.11 Period (n) = 10…

Q: Red Deer College wants to set up a scholarship for students in its business programs such that at…

A: Present value of money is the amount required today for the future needs based on the time value of…

Q: how much can we paid in scolarships at the end of half year if $90.000 is deposited in a trust fund…

A: Amount Deposited = $90,000 Annual Interest Rate = 8.5%Semiannual Interest Rate = 8.5% / 2Semiannual…

Q: At 2% interest per year, what was the initial endowment amount (PW) that would permit $1 million…

A: Perpetuity refers to the instrument that pays a fixed annual interest payment to the holder…

Q: A health clinic invests $578,467 in an endowment fund to support its community health program. They…

A: The future value is the formula used to evaluate the future value of today’s $1. It is calculated by…

Q: In order to have ₱1 million in a fund at the end of 15 years, how much must be deposited in the fund…

A: Future value (FV) is ₱1,000,000. The maturity period is 15 years. The interest rate is 10.5%. The…

Q: Bright Inc. will be receiving $5,400 at the end of every month for the next 2 years. If these…

A: Future value of money is the amount of deposit made and amount of interest accumulated on that…

Q: Having achieved immense success since graduating from university, you have set up an endowment fund…

A: First annual contribution (X) = $100000 Constant rate of growth (d) = - 2% (Declining rate) Interest…

Q: a college begins a capital campaign to create a fund to provide scholarships to worthy students, If…

A: Given: Scholarship amount (PMT)=$200000Interest rate =7% or 0.07

Q: How much must be deposited today into the following account in order to have a college fund in 11…

A: The time value of money is a concept in finance that takes into account the effect of compounding in…

Q: If P20,000 is invested in a fund that pays 10% compounded annually, how much money will be in the…

A: Answer -    Part 1 -  If P20,000 is invested in a fund that pays 10% compounded annually, how much…

Q: An endowment fund is set up today. It provides payments of $1500 a year for 6- years (first payment…

A: The question is based on the concept of present value for annuity and perpetuity payment .

Q: Professor Dom wishes to set up a permanent scholarship paying $5,000 per annum, at the beginning of…

A: To determine Present value(PV) from the Future value(FV) , discounting is required.

Q: how many years

A: The $50000  fund is a lump sum amount today. The $6000 withdrawl per year is ordinary annuity. To…

Q: How much can be paid in scholarship at the beginning of each month if $200000 is deposited in a…

A: The amount to be paid monthly can be calculated from the function of present value of annuity due

Q: What should the present value of a savings account be to cover $30,000 of college expenses in 12.5…

A: Compound = Quarterly = 4Future Value = fv = $30,000Time = t = 12.5 * 4 = 50Interest Rate = r = 7.5 /…

Q: 5. A scholarship fund pays out 50,000 annually beginning n years from now. To make this go according…

A: It is a case of depositing funds for n years and afterward, issuing annual scholarships for…

Q: (3) Suppose $40,000 was invested on January 1, 1980 at an annual effective in- terest rate of 7% in…

A: We have to calculate the present value of perpetual annuity due. This value will be equal to the…

Q: Tuition at the Home State University is currendy $10,000 per year, increasing college to fund an…

A:

Q: am. 122.

A: The objective of this question is to find out the present value of a future sum of money. In this…

Q: Q10. James decided to fund a school in Orange County in perpetuity. The first payment will be made…

A: Present value refers to the discounted value of future cash flows. A perpetuity is a series of equal…

Q: A schools parent council wants to setup up a scholarship fund.  How much needs to be invested today…

A: Given:   Payment = $1,000 Years = 10 Interest rate = 7%

Q: A recent alumnus of your university gifted money to the school to fund annual scholarships for…

A: This question require us to compute the amount of gift which will provide $50000 annual scholarship…

Q: Camosun College has just received a donation of $50,000. The donor has stipulated that the funds…

A: The term "annual bursary" represents a monetary award provided by colleges and other authorities to…

Q: A corporation creates a sinking fund in order to have $640,000 to replace some machinery in 8 years.…

A: It is a case of calculating the future value of a quarterly annuity. Here, the future value is…

Q: If $90,000 is invested in a fund on December 31, 2019, and 5 equal annual withdrawals of $23,138.32…

A: solution: Let interest rate earned = i Annual withdrawls = $23,138.32 Amount invested (Present value…

Q: 8. An education fund will offer a P40, 000 annual scholarship for the first five years, a P60, 000…

A: Present value (PV) of all the cash flows is the sum of the money deposited now. It is an example of…

Q: Bright Inc. will be receiving $5,500 at the end of every month for the next 2 years. If these…

A: The objective of this question is to calculate the future value of a series of monthly payments…