In your will, you bequeath $6,000,000 into an account that earns 15% annually. The account will fund an annual award in perpetuity that will be given to a world leader who has excellent intentions to promote peace. If you want the award amount to increase by 5% every year, what will be the first year's award amount be?
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Ответ:
PV = C/ ( r - g)
PV = $6,000,000
r = 15%
g = 5%
C = ?
∴ C = PV × (r - g) = $6,000,000 × ( 15% - 5%) = $6,000,000 × 10%,
C = $600,000
Explanation:
Present Value of Growing Perpetuity is given thus:
PV = C/ ( r - g)
where PV = Present Value
C = Payment
r = rate of return for a period
g = growth rate for a period
Ответ:
these are the four factors that influence enterpreneurship development
1. economic development
2. culture
3.technological development
4. education