Question: Steve Short wants to set up a fund to pay
Steve Short wants to set up a fund to pay for his daughter’s education. In order to pay her expenses, he will need $23,000 in four years, $24,300 in five years, and $26,000 in six years, and $28,000 in seven years. If he can put money into a fund that pays 4 percent interest, what lump-sum payment must he place in the fund today to meet his college funding goals?
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