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A scholarship fund earns an effective annual rate of 8%. How much does the scholarship fund need today if the fund pays an annual amount

A scholarship fund earns an effective annual rate of 8%. How much does the scholarship fund need today if the fund pays an annual amount of $4,000, the first payment being today, and grows at 4% per annum for an infinite period? Select one:

a. $100,000.00 b. $112,320.00 c. $102,000.00 d. $104,000.00

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