You want to endow a scholarship at your alma mater. You want the scholarship to pay for a full years tuition every year (tuition this past year was $30,000). Assume tuition will increase at 4% per year. If the university earns 8% per year on its investments, and if the first scholarship will be paid in one years time, how much will you need to donate to endow the scholarship?

$375,000

$565,000

$750,000

$780,000