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Can someone please explain it to me ASAP??!!! An endowment is an investment account in which the balance ideally remains constant and withdrawals are made

Can someone please explain it to me ASAP??!!!

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An endowment is an investment account in which the balance ideally remains constant and withdrawals are made on the interest earned by the account. Such an account may be modeled by the initial value problem B'(t) = rB - m, for t2 0, with B(0) = Bo. The constant r > 0 reflects the annual interest rate, m > 0 is the annual rate of withdrawal, Bo is the initial balance in the account and t is measured in years. a) Solve the initial value problem with r = 0.04, m = $3000/year, and Bo = $70,000. Does the balance in the account increase or decrease? b) If r = 0.04 and Bo = $30,000, what is the annual withdrawal rate m that ensures a constant balance in the account? What is the constant balance? a) Solve the initial value problem with r = 0.04, m = $3000/year, and Bo = $70,000. Does the balance in the account increase or decrease? ary Increase ns Decrease b) If r = 0.04 and Bo = $30,000, what is the annual withdrawal rate m that ensures a constant balance in the account? ourc m = $ /year (Simplify your answer.) What is the constant balance? The constant balance is $ Textbook Time Remaining: 02:35:09 Next

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