You decide to set up a college fund for your 10-year-old child and plan to make annual deposits into the account each year on your child's birthday. Because "other things" consistently use more of your money than anticipated, your deposits are actually somewhat erratic. One year even resulted in a withdrawal. The account earns 5 percent per year.

a. How much is in the account immediately after the deposit on your child's eighteenth birthday?

b. How much would you have needed to deposit on each birthday to accumulate the same total if you had started on your child's tenth birthday and made equal annual deposits with no withdrawals?

c. How much would you have needed to deposit on each birthday to accumulate the same total if you had started on your child's first birthday and made equal annual deposits with no withdrawals?

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Birthday 10 11 12 13 14 15 16 17 18 Deposit $1,000 $1,000 $2,000 $1,500 -$1,500 $3,000 $2,500 $2,000 $2,000