Question: Please do questions 2,3 and 4 And please do the cash flow digrams 4. In 1981 the cost of tuition to attend a particular college
4. In 1981 the cost of tuition to attend a particular college was S1,000.00. Now in 2012 the cost of tuition to attend the same college is S10,500.00. Calculate what the rate of increase has been. (10 points) 5. Given that an investor saves $1,200 every year for the next 48 years. If the interest rate is 10% how much will the investor have at the end of the 48 years? (10 points) 6. A new dad decides to start a college fund for his son. He contributes $500 to the college fund on his son's first birthday. Each year after that he will increase his contribution on birthday his total contribution will be birthday the contribution will be etc...). the interest rate on the college fund is 8% how much money will be in the college fund in 18 years? (5 points) 7. What single amount at the end of the fifth year is equivalent to a uniform annual series of S5,000 per year for 8 years if the interest rate is 5% compounded annually? points)
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