Becky Wilkinson wants to establish a trust fund that will provide her children and heirs with a perpetual annuity in the amount of
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thousand dollars per year beginning next year. If the trust fund will earn an interest rate of 10% per year compounded continuously, find the amount that she must place in the trust fund now.
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Hint: Use the formula .
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A. $350,000
B. ?$290,000
C. ?$380,000
D. ?$370,000
E. ?$400,000
Answer: A
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