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Engineering, 18.02.2022 01:20 DarinKing2005

Suppose that a firm wishes to create an endowment for a laboratory. It will earn an interest of 10% per year. Cash requirement
are
estimated to be $650,000 (to establish it), $80,000 per year
indefinitely. Also $90,000 every fourth year and $70,000 every ten years for equipment replacement
indefinitely.
What amount of endowment principal (CW) is required to support remaining cash
requirements?

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Answers: 2

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