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

question 119

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

---

Definitions:

Biofeedback

A technique that trains individuals to improve their health by controlling certain bodily processes that normally happen involuntarily, like heart rate or blood pressure.

Involuntary Bodily Functions

Involuntary Bodily Functions are processes within the body that occur without conscious control, such as breathing, heartbeat, and digestion.

Labor and Delivery

The process in which childbirth occurs, starting with contractions of the uterus and ending with the delivery of the baby and placenta.

Nurse Midwife

A professional RN who has had extensive training and experience in labor and delivery.