$3-$ A father wants to save in advance for his $8-$year old daughter's college expenses. The daughter will

enter the college $10$ years from now. An annual amount of $$30,000$ in today's dollars $($constant dollars$)$

will be required to support the college for $4$ years. Assume that these college payments will be made at

the beginning of each school year. The first payment occurs at the end of $10$ years. The future general

inflation rate is estimated to be $5\%$ per year, and the interest rate on the saving account will be $4\%$

compound vearly during this period. If the father has decided to save only $$500($actual dollars$)$ at the

ena or eacn montn until she goes to college $($the last deposit occurs at the end of $10$ years$)$ how much

will the daughter nave to borrow to cover her sophomore expenses? $(20$pts$)$