Its time to start saving for college. The current cost of a 4 year degree is $200,000. You expect an annual average inflation rate of 4% over the next 18 years. What will your sons college degree cost you in 18 years and, if you can earn an average of 8% annual interest on your investments.

Required

How much will you need to deposit each year to have enough money to pay for his education? (Round to the nearest dollar).

Answer rating: 100% (QA)

To calculate the future cost of your sons college degree in 18 years we can use the formula Future ... View the full answer