YOU ARE PLANNING TO ESTABLISH A 30-YEAR SCHOLARSHIP FUND AT YORK UN...
7. You are planning to establish a 30-year scholarship fund at York University
that will pay $12,000 at the end of the first year and then increase by 1.5% per
year. The scholarship fund will be managed by a successful fund manager, Chris
Robinson. Chris guarantees that the fund will earn a 6.75% annual rate of return.
How much should you donate to York today in order to maintain this scholarship?
A) $50,346.20
B) $146,508.84
C) $178,225.23