How much will be paid out each year to the winners

Reference no: EM132206607

Question: Prof. Gilkinson has pledged a scholarship program called the ˜Lowest GPA Award' for WVU-Tech that will pay a fixed amount starting at the end of 11th year from today. To fund this, he will deposit $4000 per year, for the next 10 years in a mutual fund that pays a guaranteed 10% return every year. At the end of 10 years the accumulated funds will be invested in another mutual fund that will pay a guaranteed return of 8% forever. How much will be paid out each year to the winners of the ˜Lowest GPA Award'. (We need to find a uniform payout starting from year 11 and lasting forever).

Reference no: EM132206607

Questions Cloud

Discuss the validity of the statement : In order to succeed in today's globalized world a multinational business needs to "think global & act local". Discuss the validity of the above statement.

What is the role of a constructor : Write the necessary code including: import statement, instantiation, and other needed statements to read an integer value from the keyboard.

The era of expertise was largely concerned with : The era of expertise was largely concerned with __________. Almost always included as important leadership traits are

Show how to find the entry p by reading at most o entries : You'd like to find the "peak entry" p without having to read the entire array-in fact, by reading as few entries of A as possible.

How much will be paid out each year to the winners : Prof. Gilkinson has pledged a scholarship program called the ˜Lowest GPA Award' for WVU-Tech that will pay a fixed amount starting at the end of 11th year.

How to present and speak about the brand : Brand voice management: it is a written document that outlines the name, logo, visual style of the brand and communicates concise parameters.

Write a pep machine language instruction : Write a Pep/7 machine language instruction that puts the value 1111111100000001 into the A register.

Describe checkpoint firewall and its features : Write a paragraph that describe checkpoint firewall and its features.

What is the percentage you have to invest in every assets : Is you have two assets with expected returns 10% and 5%, respectively, what is the percentage you have to invest in every assets in order to get an expected.

User Account

All Pages