Question: could you please answer this using a finantial calculator Required annuity payments A father is now planning a savings program to put his daughter through
Required annuity payments A father is now planning a savings program to put his daughter through college. She is 13 , she plans to enroll at the university in 5 years, and she should graduate in 4 years. Currently, the annual cost (for everything-food, clothing, tuition, books, transportation, and so forth) is $15,000, but these costs are expected to increase by 5 percent annually. The college requires that this amount be paid at the start of the year. She now has $7,500 in a college savings account that pays 6 percent annually. The father will make 6 equal annual deposits into her account; the 1st deposit today and the 6 th on the day she starts college. How large must each of the 6 payments be? [Hint: Calculate the cost (inflated at 5 percent) for each year of college, then find the
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