Final answer:
The institution must cost share an additional $50,000 for the project if the agency requires 20% cost sharing and is providing $200,000, as this represents 80% of the total cost.
Step-by-step explanation:
If an agency requires 20% cost sharing of the total project for a particular program and a proposal is requesting $200,000 from the agency, the institution must cost share an additional amount. To determine this amount, we 'll calculate 20% of the total project cost. Since the agency is funding $200,000 and that represents 80% of the total project cost (given that the agency's contribution does not represent cost sharing), we can find the total cost of the project using the formula:
Total Project Cost = Agency Contribution / 0.80
By inserting the known numbers:
Total Project Cost = $200,000 / 0.80
Total Project Cost = $250,000
The institution must then provide 20% of this total cost:
Institution Cost Share = Total Project Cost x 0.20
Institution Cost Share = $250,000 x 0.20
Institution Cost Share = $50,000
Therefore, the additional amount the institution must cost share is $50,000.