A University Alumni Group Wishes to Provide an Annual Scholarship

Multiple Choice

A university alumni group wishes to provide an annual scholarship in the amount of $1,800 beginning next year. If the scholarship fund will earn an interest rate of 9% / year compounded continuously, find the amount of the endowment the alumni are required to make now.

A) $20,473
B) $20,000
C) $19,672
D) $19,017