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You want to endow a chair for a female professor of finance at your alma mater. Youd like to attract a prestigious faculty member, so

You want to endow a chair for a female professor of finance at your alma mater. Youd like to attract a prestigious faculty member, so youd like the endowment to add $100,000 per year to the faculty members resources (salary, travel, databases, etc.) If you expect to earn a rate of return of 4% annually on the endowment, how much will you need to donate to fund the chair?

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