A. It is estimated that 18 years from now college tuition at the University of Hartford...

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A. It is estimated that 18 years from now college tuition at the University of Hartford will be $42,000 per year. If your child is born today, how much will you need to put away per year, at end of each year through your child's 18th birthday, so that no additional payments need to be made after year 18? Assume i = 3%. B. Assume the same parameters as A., but now assume that after year 18, tuition will increase $1,500 per year. C. Check your answer to B. above by computing the same figure using a different method. A. It is estimated that 18 years from now college tuition at the University of Hartford will be $42,000 per year. If your child is born today, how much will you need to put away per year, at end of each year through your child's 18th birthday, so that no additional payments need to be made after year 18? Assume i = 3%. B. Assume the same parameters as A., but now assume that after year 18, tuition will increase $1,500 per year. C. Check your answer to B. above by computing the same figure using a different method.

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A To calculate the amount needed to put away per year we can use the formula for the future value of ... View the full answer