How much does Frances need to donate to a trust each year for 6 years to have exactly enough in the trust to be able to make scholarship payments of $10,460.00 per year forever? The first annual $10,460.00 scholarship payment will be made 7 years from today. To fund the trust, Frances plans to make equal annual savings donations to the trust for 6 years. Her first donation to the trust will be made one year from today. The expected return for the trust is 18.02 percent per year. (Round the value to 2 decimal places)

Answer rating: 100% (QA)

This problem involves the concept of the time value of money and the present value of an annuity We ... View the full answer