Becky Scholes has $150,000 to invest. She wants to be able to withdraw $12,500 every year forever

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Becky Scholes has $150,000 to invest. She wants to be able to withdraw $12,500 every year forever without using up any of her principal. What interest rate would her investment have to earn in order for her to be able to do so?

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Fundamentals of Corporate Finance

ISBN: 978-1118845899

3rd edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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Question Posted: Oct 19, 2016 10:13 AM

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Becky Scholes has $150,000 to invest. She wants to be able to withdraw $12,500 every year forever

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Fundamentals of Corporate Finance

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