Determine the Amount of Money Required to Set Up a Charitable

Multiple Choice

Determine the amount of money required to set up a charitable endowment that pays the amount $P$ each year indefinitely for the annual interest rate compounded continuously. $P = \$ 12,000 , r = 6 \%$

A) $210,000
B) $200,000
C) $220,000
D) $240,000
E) $230,000