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In 30 years, you plan to set up a fellowship fund for your university that pays out $100,000/year in perpetuity with an annually compounded discount
In 30 years, you plan to set up a fellowship fund for your university that pays out $100,000/year in perpetuity with an annually compounded discount rate of 5%. In order to set up the fund in 30 years, how much do you need to save each year (starting this year) assuming you can get a semi-annually compounded return of 10% on your savings for the next 30 years?
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