Mr. Diaz is creating a college fund for his daughter. He plans to make 5-yearly payments of $6,000 each with  the first payment deposited today on his daughter's 6th birthday (happy birthday!) Assuming his daughter will need four  equal withdrawals from this account to pay for her education beginning when she is eighteen (i.e. 18, 19, 20, 21).

How much will she have on a yearly basis for her university career? Mr. Diaz expects to earn a constant 10% annual return for the time interval of this problem?

Answer rating: 100% (QA)

To calculate how much the daughter will have on a yearly basis for her university career we first ne... View the full answer