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A prominent alumnus of your university has just donated $2,500,000 to fund a scholarship that will distribute $95,000 per year forever beginning in one year.

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A prominent alumnus of your university has just donated $2,500,000 to fund a scholarship that will distribute $95,000 per year forever beginning in one year. For this to be true, what rate of return is expected on the donation? Multiple Choice O 3.93% 3.80% o 4.05% 3.99% 3.66% 3.66%

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