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Question 2 (Perpetuity: 15 points) You have decided to endow your favorite university with a scholarship in honor of your successful completion of MBA degree.

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Question 2 (Perpetuity: 15 points) You have decided to endow your favorite university with a scholarship in honor of your successful completion of MBA degree. You would like this scholarship to provide $12,000 per year into perpetuity when the endowment is ready in 10 years. You expect to give the university the endowment in 10 years and will accumulate it by making annual (end-of-year) deposits into an account. The annual rate of interest is expected to be 4.8% for all future time periods. (a) How large must the endowment be? (6) How much must you deposit at the end of each of the next 10 years to accumulate the required amount

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