You have an absolutely brilliant child who is six years old and will be attending a private college in twelve years. You know that a four-year college now costs at least $30,000 per year, including tuition, books, and room and board. The cost of sending a child to college has increased by 8 percent per year, and you believe this will be true for the next twelve years. How much will the annual tuition be when your child is eighteen?

Q: Your daughter will start college one year from today, at which time the first tuition payment of…

A: Using excel PV function

Q: Your parents invest $10,000 in a college fund when you are born. They find a fund that will return…

A: Initial investment (P) = $10000 Interest rate (r) = 8% Fund duration (n) = 18 years Let the tuition…

Q: Your younger sister, Brittany, will start college in five years. She has just informed your parents…

A: given, A = $30,000 r=10% n = 4 years

Q: belinda and harry have discussed starting a family but decided to wait for perhaps five more years…

A: Inflation Rate: It is the percentage increase or decrease in prices during a period. The percentage…

Q: Mr. Wise is creating a college investment fund for his daughter. He will put in P850 per year for…

A: To open the "FV function" window - MS-Excel --> Formulas --> Financials --> FV.

Q: Suppose that you are saving for college for a child. That child was just born and you will have to…

A: Here, Amount required to pay for the tuition for four years is $65,000 annually Time duration after…

Q: ur client has asked you what would be needed to fund your 2 children’s future college costs. Assume…

A: Future planning is needed for the education of the children and you have to save for that.

Q: At what interest rate will you need to invest in the current IRA account balance in order to achieve…

A:

Q: Your new baby was born yesterday. To save for her education, you decide to invest in a 529 plan and…

A: 529 plan is a tax advantage savings plan that helps to cover future education costs. It is also…

Q: A middle-aged school teacher is dreaming about retirement. She believes she can comfortably leave…

A:

Q: Because you study at AUIS when you graduate, we expect you to earn $150 more a month than another…

A: Here, Earning per Month is $150 Annual Interest Rate (r) is 10% Compounding Period (m) is Semi…

Q: 1. William Jack and Sophia Rose are planning on their first child education. If they expect that…

A: "As per the policy of our company, In case of multiple questions asked then, we are allowed to…

Q: . How much should you deposit monthly to accumulate $85,000 in 15 years?

A: Future Value of Annuity: It represents the future worth of current annuity payments made…

Q: 46. Your younger sister, Brittany, will start college in five years. She has just informed your…

A: Because you have posted multiple questions we will answer the first question only. for the remining…

Q: You want to set aside money in order to present your son with a 25,000 trip upon his graduation from…

A: Present value is the current worth of the future payment. ------------------------------ Given:…

Q: Tom and Mary James just had a baby.  They heard that the cost of providing a college education for…

A: future value = 100000 interest rate (i)= 10% no of years  (n)= 18 a) now we will calculate the…

Q: 46. Your younger sister, Brittany, will start college in five years. She has just informed your…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Your client has great news. His son was born last week. He wants to set aside $50,000 today to cover…

A: Future Value = Present Value ( 1 + i )n   Note: Assuming that interest on his investment will be…

Q: Your son has come to you for advice. He is about to enter college and has two options open to him.…

A: As a first step, let's calculate the NPV of Pharmacy / MBA option making use of the cash flows. We…

Q: Your oldest daughter is about to start kindergarten in a private school. Tuition is $30,000 per…

A: Tution fee is $30,000 per year. Time period is 13 years Tution fee increase rate is 6% per year Rate…

Q: Syariqul Haq is trying to save up for a big vacation. He plans to take a trip around Japan when he…

A: Future value  The future value indicates the value of a current investment over a specified period…

Q: When your first child is born, you begin to save for college by depositing $500 per month in an…

A: The calculation is: Note: Concept utilized: 2.71828182 is a numerical constant value.

Q: Frank Chang is planning for the day when his child, Laura, will go to college. Laura has just turned…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: A young couple is planning for the education of their two children. They plan to invest the same…

A: Annuities are insurance contracts that promise to pay you regular income either immediately or in…

Q: You have saved $120,000 for your child to attend college. If it is in an account earning an annual…

A: given, future value = $120,000 r = 6% n = 4 years

Q: You would like to have $200,000 in a college fund in 15 years. How much do you need today if you…

A: Present Value refers to the discounted value of a single cash flow or multiple cash flows today…

Q: You have an absolutely brilliant child who will be attending a private college in 11 years. You know…

A: Data given: Cost of 4 year college  = $15000 per year. n=11 years  Increase in rate= 4%   Required :…

Q: What interest (to the closest percent) must she earn in this account to achieve this financial…

A: Interest refers to the cost of money borrowed from a lender. It can be simple or compound. It is…

Q: Assume the total cost of a college education will be $365.000 when your child enters college in 18…

A: given, future value = $356,000 present value = $59,000 n = 18 years

Q: Your daughter is currently 10 years old. You anticipate that she will be going to college in 8…

A: Here we will use the concept of time value of money which states that money deposited today in an…

Q: Your friend is considering investing in a two-year MBA program. Tuition costs will be $60,000 for…

A: An investment is a type purchase of an item or thing with the goal of earning income or rising in…

Q: Assume the total cost of a college education will be $245,000 when your child enters college in 15…

A: Amount we have (present Value) is $108,000 Required Amount after 15 years (Future Value) is $245,000…

Q: When your first child is born, you begin to save for college by depositing 100  per month in an…

A: Future value = Present value * eRate of interest * Time Where e = 2.71828

Q: Your son has come to you for advice. He is about to enter college and has two options open to him.…

A: We need to calculate the net present value of earnings and expenses in both the available options.

Q: you estimate that you will need about $80,000 to send your child to college in eight years.Y ou have…

A: To Find: Rate of Interest

Q: When your first child is born, you begin to save for college by depositing $600 per month in an…

A: Annuity means number of payments which are equal in size and made at equal interval of time. Person…

Q: You are graduating in two years and are thinking about your future. You know that you will want to…

A: FV is the future worth of cash flows that have occurred in the past or present.

Q: You calculate that you will need $75,000 in ten years to be able to pay for your daughter's college…

A: The question is based on the concept of Financial Accounting.

Q: Your friend is considering investing in a two-year MBA program. Tuition costs will be $60,000 for…

A: (Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: William Jack and Sophia Rose are planning on their first child education. If they expect that…

A: Given information :  Amount Required at the end of 18 years = RM 150,000 Annual rate of return = 6%…