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How much must you give today

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Question - You decide to make a gift to the Harbert College of Business. Specifically, you wish to create a scholarship fund that will pay out $1,000 at the end of the first year, with the payouts increasing by 8 percent every year thereafter in perpetuity. How much must you give today if the appropriate discount rate is 12 percent?

Reference no: EM133171430

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