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Clarissa wants to fund a growing perpetuity that will pay $12,000 per year to a local museum, starting next year. She wants the annual amount
Clarissa wants to fund a growing perpetuity that will pay
$12,000
per year to a local museum, starting next year. She wants the annual amount paid to the museum to grow by
5%
per year. Given that the interest rate is
9%,
how much does she need to fund this perpetuity?
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