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Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is `0' years old and Alex is `7' years old.
Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 1%.
a) What is the present value of the tuition fees that you will have to pay for Ashley? Please provide the details of your calculations and discuss your results.
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- Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is 5 years old and Alex is 1 years old. Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 7%. b) What is the present value of the tuition fees that you will have to pay for Alex? Please provide the details of your calculations and discuss your results.Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is 5 years old and Alex is 1 years old. Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 7%. a) you prefer to pay a constant amount of money at the beginning of each year, starting next year until the year of the last tuition bill, to cover the present value of Alex AND Ashley's tuition fees in totality. How much should you be paying each year? Please provide the details of your calculations and discuss your resultsAssume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is 5 years old and Alex is 1 years old. Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 7%. a) What is the present value of the tuition fees that you will have to pay for Ashley? Please provide the details of your calculations and discuss your results.
- Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is 5 years old and Alex is 1 years old. Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 7%. a) What is the present value of the tuition fees that you will have to pay for Ashley? Please provide the details of your calculations and discuss your results. b) What is the present value of the tuition fees that you will have to pay for Alex? Please provide the details of your calculations and discuss your results. c) Instead, you prefer to pay a constant amount of money at the beginning of each year, starting next year until the year of the last tuition bill, to cover the present value of the totality of the tuition fees.…Assume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is 5 years old and Alex is 1 years old. Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 7%. a) you prefer to pay a constant amount of money at the beginning of each year, starting next year until the year of the last tuition bill, to cover the present value of the totality of the tuition fees. How much should you be paying each year? Please provide the details of your calculations and discuss your resultsAssume today is 1 September, and this is the birthday of your two children, Ashley and Alex. Ashley is `0' years old and Alex is `7' years old. Both children will start college when they turn 18. Ashley will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Alex will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 1%. c) Instead, you prefer to pay a constant amount of money at the beginning of each year, starting next year until the year of the last tuition bill, to cover the present value of the totality of the tuition fees. How much should you be paying each year? Please provide the details of your calculations and discuss your results.
- Today is 1 September, and this is the birthday of your two children, Tom and Lilly. Tom is 1 year old and Lily is 8 years old.Both children will start college when they turn 18. Tom will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. Lilly will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 8%.a) What is the present value of the tuition fees that you will have to pay for Tom?b) What is the present value of the tuition fees that you will have to pay for Lilly?c) Instead, you prefer to pay a constant amount of money at the beginning of each year, starting next year until the year of the last tuition bill, to cover the present value of the totality of the tuition fees. How much should you be paying each year?Today is 1 September, and this is the birthday of your two children, Tom and Lilly. Tom is 1 year old and Lily is 4 years old.Both children will start college when they turn 18. Tom will take 3 years to graduate andyou will pay tuition of £15,000 per year at the beginning of each school year. Lilly will take 7 years to graduate and you will pay tuition of £10,000 per year, payable at the beginning of each school year. The interest rate is 4%.a) What is the present value of the tuition fees that you will have to pay for Tom?b) What is the present value of the tuition fees that you will have to pay for Lilly?c) Instead, you prefer to pay a constant amount of money at the beginning of each year,starting next year until the year of the last tuition bill, to cover the present value of the totalityof the tuition fees. How much should you be paying each year?A father decides to invest k300 each month at 12% per year compounded monthly to pay for his 12 year old son's tertiary education when the son reaches 17 years a. if deposits are done at the end of each month, what amount of money will be available at the time the son enters tertiary education? b. if deposits are done at the start of each month, what amount of money will be available at the time the son enters tertiary education?
- Today us 1st september and the birth of tom.Tom will start college when he turns 18. Tom will take 3 years to graduate and you will pay tuition of £15,000 per year at the beginning of each school year. The interest rate is 4%.What is the present value of the tuition fees that you will have to pay for Liam?• Starting next year, Moussa Al Khatib will need $10,000 annually for 4 years to complete his education. • This means that one year from today he will withdraw the first $10,000. • Moussa’s father deposits an amount today in a bank paying 5% annual interest, which will provide the needed $10,000 payments. a. How large must the deposit be? b. How much will be in Moussa’s account immediately after he makes the first withdrawal?After graduation, you plan to work for Dynamo Corporation for 12 years and then start your own business. You expect to save and deposit $7,500 a year for the first 6 years (t = 1 through t = 6) and $15,000 annually for the following 6 years (t = 7 through t = 12). The first deposit will be made a year from today. In addition, your grandfather just gave you a $32,000 graduation gift which you will deposit immediately (t = 0). If the account earns 9% compounded annually, how much will you have when you start your business 12 years from now? Group of answer choices $286,936 $298,892 $292,914 $297,486 $310,848