Question
You want to endow a scholarship that will pay $ 20,000 per yearforever, starting one year from now. If theschool's endowment discount rate is 5
You want to endow a scholarship that will pay $20,000 per yearforever, starting one year from now. If theschool's endowment discount rate is 5%, what amount must you donate to endow thescholarship?
Answer: You must donate $______________ now to endow the scholarship
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Financial Management For Decision Makers
Authors: Peter Atrill
7th Edition
129201606X, 978-1292016061
