Luca Lucchesi has $10 million today and is setting up a trust fund for his 2 children.

If r=4%, how much should the fund pay each child next year?

Mr. Lucchesi is also thinking that his children need to learn to make their own mark in the financial world. So he is thinking of withholding the trust fund payments until 5 years (i.e. t=5). Determine the perpetual annual payments that could be supported in such a scenario.