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RBS wishes to set up an endowment to fund research into the financial markets and is approaching wealthy investors for donations. RBS has determined that
RBS wishes to set up an endowment to fund research into the financial markets and is approaching wealthy investors for donations. RBS has determined that it needs S$500,000 per year to be able to carry out its research. It has also calculated that the costs of research will increase by 2.5% per annum. The research will commence from the end of Year 3 and if market interest rates are 5% how much does RBS need to raise from investors to set up the endowment?
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