A generous benefactor to a local ballet plans to make a one-time endowment that would provide the ballet with $150,000 per year into perpetuity. The rate of interest is expected to be 5 percent for all future time periods. How large must the endowment be?

Endowment Must be $3,000,000 Large

Explanation:

The endowment can be calculated using the following formula:

Value=

In our case:

Given data:

Cash Flow =$150,000 per year

Rate if interest= 5%=0.05

Required:

How large must the endowment be?

Solution:

Endowment=

Endowment Must be $3,000,000 Large

c) triple bottom line.

Explanation:

The alternative that should be considered by Sunset Oil is the triple botton line, which is related to the social, environmental and financial results of an organization.

A conscious organization knows that the result of its actions has a very direct impact on the entire community and on the environment, which can positively or negatively influence its position with stakeholders and impact financially on the business

Therefore, the triple botton line integrates the three fundamental concepts for maintaining sustainability in a company.

The three pillars of the triple botton line are:

1- People: It relates to the company's entire human capital, including its employees, suppliers, consumers and the community in its surroundings and society. Therefore, it is ideal for the company to develop actions that benefit society as a whole and develop an environment of ethical work relationships.

2- Planet: It lists the conduct that the company will have to preserve natural and environmental resources in the short, medium or long term.

3-  Profit: It is the company's economic result due to the actions that protect the balance of the environment.