Problem
A trust fund is to be established for three purposes: (1) to provide $750,000 for the construction and $250,000 for the initial equipment of a small engineering laboratory; (2) to pay the $150,000 per year laboratory operating cost; and (3) to pay for $100,000 of replacement equipment every 4 years, beginning 4 years from now. At 6% interest, how much money is required in the trust fund to provide for the laboratory and equipment and its perpetual operation and equipment replacement?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.