3. A scholarship fund is started on January 1, 2015 with an initial deposit of of $100,000 in an account earning i(2) = 0.08, with interest credited every June 30 and Dec 31. Every Jan. 1 from 2016 on, the fund will receive a deposit of $5,000. The scholarship fund makes payments to recipients totaling $12,000 every July 1, starting in 2015. What amount is in the scholarship account just after the $5,000 deposit is made on Jan 1, 2025? Hint: (i) What is the annual effective interest rate? What is the 6-month rate? (ii) How long is the period from the initial deposit of $100,000 until (iii) To what do the annual deposits of $5000 grow by Jan 1, 2025? (iii) To what would the annual withdrawals have grown by Jan 1, 2025? (Note that they're made midyear.) ANS: $109,926.03