A person desires to create an endowment fund to provide for a prize of $300 every year. If the fund can be invested at 10% per annum compound interest, find the amount of the endowment?
Answers
Answered by
16
Answer:
this involves perpetual annuity. because endowment fund is always created per year
Step-by-step explanation:
P=a÷i
a=$300
I=10/100=0.1
P=300/0.1=$3000
Answered by
9
Answer:
V = amount/rate
V= 300/10%
V=3000
Step-by-step explanation:
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