The State of Chiapas, Mexico, decided to fund a program for improving reading skills in elementary school students. The first cost is $300,000 now, and an update amount of $100,000 every 5 years forever. Determine the perpetual equivalent annual cost at an interest rate of 10% per year.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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The State of Chiapas, Mexico, decided to fund a
program for improving reading skills in elementary
school students. The first cost is $300,000
now, and an update amount of $100,000 every
5 years forever. Determine the perpetual equivalent
annual cost at an interest rate of 10% per year.

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