22 Jul DETERMINE THE EQUAL ANNUAL AMOUNTS THAT THE COUPLE MUST SAVE UNTIL THEY SEND THEIR CHILD TO COLLEGE.
vs college expenses in advance. The couple Show more A couple with a newborn son wants to save for their childs college expenses in advance. The couple can establish a college fund that pays 7% annual interest. Assuming that the child enters college at age 18 the parents estimate that an amount of $50000 per year will be required to support the childs college expenses for four years. Determine the equal annual amounts that the couple must save until they send their child to college. (Assume that the first deposit will be made on the childs first birthday and the last deposit on the childs 18 th birthday. The first withdraw will be made at the beginning of the freshman year which also is the childs 18 th birthday.) Show less
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