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finance help needed please (wrong question previously)

Forums: Homework, Finance
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inairperez
 
Reply Thu 17 Jan, 2013 03:20 pm
sorry i posted the wrong question in my previous post as I have already figured out how to do it but I am stuck on this one, please help..

You want to endow a scholarship that will pay $10,000 per year forever, starting one year from now. If the school’s endowment discount rate is 7%, what amount must you donate to endow the scholarship?
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engineer
 
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Reply Thu 17 Jan, 2013 09:23 pm
@inairperez,
$10,000 / 7% = ?
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