a philanthropist decides to donate 18.8% of a...
a philanthropist decides to donate 18.8% of a trust fund to charity each year. if the fund begins with $561,000, approximately how much will be remaining after 10 years? $69,910 $0 $223,300 $86,100
Answer
# Explanation:
## Step1: Find the remaining - percentage
Each year, the remaining percentage of the fund is $1 - 0.188=0.812$.
## Step2: Use the compound - decay formula
The formula for the remaining amount $A$ of an initial amount $P$ after $n$ years with a constant decay rate is $A = P\times r^{n}$, where $P = 561000$, $r = 0.812$, and $n = 10$.
So, $A=561000\times(0.812)^{10}$.
## Step3: Calculate $(0.812)^{10}$
$(0.812)^{10}\approx0.1567$.
## Step4: Calculate the remaining amount
$A = 561000\times0.1567\approx86100$.
# Answer:
$86,100$