You figure that the total cost of college will be $101,000 per year 18 years from today. If your discount rate is 4% compounded annually, what is the present value today of four years of college costs starting 18 years from today?
You figure that the total cost of college will be $101,000 per year 18 years from today. If your discount rate is 4% compounded annually, what is the present value today of four years of college costs starting 18 years from today?
Algebra for College Students
10th Edition
ISBN:9781285195780
Author:Jerome E. Kaufmann, Karen L. Schwitters
Publisher:Jerome E. Kaufmann, Karen L. Schwitters
Chapter10: Exponential And Logarithmic Functions
Section10.2: Applications Of Exponential Functions
Problem 25PS
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You figure that the total cost of college will be $101,000 per year 18 years from today. If your
discount rate is 4% compounded annually, what is the present value today of four years of college costs
starting 18 years from today?
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