A College Received a Contribution to Its Endowment Fund of $2

question 13

Multiple Choice

A college received a contribution to its endowment fund of $2 million.They can never touch the principal,but they can use the earnings.At an assumed interest rate of 9.5 percent,how much can the college earn to help its operations each year?

• A) $95,000
• B) $19,000
• C) $190,000
• D) $18,000
• E) $9,500

---

Definitions:

Wild Turkey

A brand of bourbon whiskey distilled in Kentucky, known for its rich flavor and history in American distilled spirits.

Positive Force

An influence or energy that contributes to positive outcomes or encourages improvement and growth.

Embellished Heroic

Enriching or enhancing stories of heroes or heroic acts with fictional or exaggerated details.

Founding Organization

The act or process of establishing a new organization or entity.