A college received a contribution to its endowment fund of $2 million. It can never touch the principal, but 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

C

Business

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Fill in the blanks with correct word.

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All of the following create a demand for funds except:

a. Fannie Mae b. refinancing c. construction d. financing a sale

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