26 Jul HOW MUCH WILL YOU NEED TO DEPOSIT EACH MONTH TO HAVE ENOUGH SAVINGS FOR GRADUATE SCHOOL?
In five years you plan on starting graduate school to earn your MBA. You know that graduate school Show more In five years you plan on starting graduate school to earn your MBA. You know that graduate school can be expensive and you expect you will need $15000 per year for tuition and other school expenses. These payments will be made at the BEGINNING of the school year. To have enough money to attend graduate school you decide to start saving TODAY by investing in a money market fund that pays 4% APR with monthly compounding. You will make monthly deposits into the account starting TODAY for the next five years. How much will you need to deposit each month to have enough savings for graduate school? (Assume that money that is not withdrawn remains in the account during graduate school and the MBA will take two years to complete.) Show less
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