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k0ka [10]
3 years ago
12

Say Mary would like to create a scholarship for $2,500 per year at ECU in her family's name. If the money market rate where the

corpus will be placed to earn interest is 5.5% and if the inflation rate is 4.0%, how much will she have to donate?
Business
1 answer:
Furkat [3]3 years ago
4 0

Answer:

the amount that she have to donate is $166,666.70

Explanation:

The computation of the amount that she have to donate is shown below:

Donation amount is

= Annual scholarship ÷ (interest rate - inflation rate)

= $2,500 ÷ (5.5% - 4.0%)

= $2,500 ÷ 1.5%

= $166,666.70

hence, the amount that she have to donate is $166,666.70

We simply applied the above formula so that the correct value could come

And, the same is to be considered

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3 0
3 years ago
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Answer:

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<span>Ocean Tuna is massively overfished even though there is already an abundant supply. The reason for this is that it cost less to harvest the fish than it does to maintain a stock of the fish. This answer however, is still debated by some experts who argue that this method is not healthy for our oceans.</span>
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Answer:

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