Your firm, Southern Comfort Corp. (SCC) has $100,000 vested membership fee for its numerous members. The firm additionally has a requirement that members join their lifetime Club whose annual membership fee is $2,000. The fee is expected to increase by 3 percent per year. Disregarding the $100,000 vested membership, assist SCC in determining the following scenarios relative to its member recruitment. .

What discount rate would make you indifferent in terms of the lifelong family membership purchase?

Show calculations for the scenarios.