A rather wealthy man decides to arrange for his descendants to be well educated. He wants each child to have $65,000 for his or her education. He plans to set up a perpetual trust fund so that five children will receive this assistance in each generation. He estimates that generations will be spaced 25 years apart. He expects the trust to be able to obtain a 5% rate of return and the first recipients to receive the money 15 years hence. How much money should he now set aside in the trust? (Answer in the Book says $221, 184) I just need help getting there and please use excel formulas

Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
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A rather wealthy man decides to arrange for his
descendants to be well educated. He wants each child
to have $65,000 for his or her education. He plans to
set up a perpetual trust fund so that five children will
receive this assistance in each generation. He estimates
that generations will be spaced 25 years apart. He
expects the trust to be able to obtain a 5% rate of return
and the first recipients to receive the money 15 years
hence. How much money should he now set aside in
the trust? (Answer in the Book says $221, 184) I just
need help getting there and please use excel formulas
Transcribed Image Text:A rather wealthy man decides to arrange for his descendants to be well educated. He wants each child to have $65,000 for his or her education. He plans to set up a perpetual trust fund so that five children will receive this assistance in each generation. He estimates that generations will be spaced 25 years apart. He expects the trust to be able to obtain a 5% rate of return and the first recipients to receive the money 15 years hence. How much money should he now set aside in the trust? (Answer in the Book says $221, 184) I just need help getting there and please use excel formulas
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