Question: You have $ 1 2 0 , 0 0 0 to donate to your college. The college's discount rate is 3 % . You donate

You have $120,000 to donate to your college. The college's discount rate is 3%. You donate the money today, but you ask the college to delay the scholarship payment so that the first scholarship payment is made 8 years from today. How large will the annual payment be?

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