The school of engineering will be given a gift of $50,000 to be used for a scholarship each year. What amount can be given to a student each year beginning when the gift is given if the scholarship is to be given every year forever. The interest rate is expected to be 10% for the first 10 years, and then it is expected to drop to 6% and stay there indefinitely, but the amount of scholarship is to be kept constant (forever).
Dear Student, Please click on the hyper-link: "525777_ECO.xls". Once you do this, a dialog box... View the full answer