You Were Left $100, 000 in a Trust Fund Set

question 51

Multiple Choice

You were left $100, 000 in a trust fund set up by your grandfather.The fund pays 6.5% interest.You must spend the money on your college education, and you must withdraw the money in 4 equal installments, beginning immediately.How much could you withdraw today and at the beginning of each of the next 3 years and end up with zero in the account?

• A) $24, 736
• B) $26, 038
• C) $27, 409
• D) $28, 779
• E) $30, 218

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