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In 30years, Adam plans to set up a scholarship fund for his university that pays out $100,000/year in perpetuity with an annually compounded discount rate
In 30years, Adam plans to set up a scholarship fund for his 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 does Adam need to save each year( starting this year) assuming he gets a semi- annually compounded return of 10% on his savings for the next years?
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