On what date will the first scholarship payment be made

Assignment Help Finance Basics

Reference no: EM13286581

A bequest of $250,000 was invested on September 1, 2000 at an effective annual interest rate of 4% in order to provide an annual scholarship of $20,000 on September 1 forever, starting as soon as possible. Interest is credited every August 31.

a) On what date will the first scholarship payment be made?

b) What smaller payment could be made one year earlier without delaying the start of the full scholarship payments?

Reference no: EM13286581

Questions Cloud

Calculate the specific heat of the metal powder : 700 g of an unknown metal powder at Thot = 78°C are dropped into a negligible heat capacity calorimeter containing 140 g of water at 11°C, Calculate the specific heat of the metal powder

Explain the excess reactant and the reaction is complete : 85.50 mL of 0.0815 M sodium hydroxide is reacted with 8.15 g oxalic acid as shown in the reaction below. What mass of the excess reactant remains after the reaction is complete

Determine change in the kinetic energy of the skater : A 83-kg skater sliding due southeast at an initial speed of 2.0 m/s runs into a snow bank, What is change in the kinetic energy of the skater

In america childrens leave there home after there marriage : In america childrens leave there home after there marriage then parents have to live alone. when they get older they usally have to go to old age homes. support this statement and write about this . must be half pages in length.

On what date will the first scholarship payment be made : What smaller payment could be made one year earlier without delaying the start of the full scholarship payments?

Find the percentage lost by the window : A wall in a house contains a single window. The window consists of a single pane of glass whose area is 0.19 m2 and whose thickness is 9 mm. what is the percentage lost by the window

Calculate the return on invested capital : Calculate the return on invested capital (ROIC) for each firm. Round your answers to two decimal places.

Explain chlorine can be generated by heating : Chlorine can be generated by heating together calcium hypochlorite and hydrochloric acid. Calcium chloride and water are also formed.

Determine the direction of the resultant force : Three forces in the x-y plane act on a 5.5 kg mass: 10.3 N directed at 37°, 12.2 N directed at 128 °, and 4.1 N directed at 201° . Calculate the direction of the resultant force

User Account

All Pages