Answered step by step
Verified Expert Solution
Question
1 Approved Answer
3. Assume the total cost of a college education will be $325,000 when your child enters college in 18 years. You presently have $85,000 to
| 3. Assume the total cost of a college education will be $325,000 when your child enters college in 18 years. You presently have $85,000 to invest. What annual rate of interest must you earn on your investment to cover the cost of your childs college education? SHOW WORK AND FORMULAS | |||||
| Future value | $325,000 | ||||
| Years | 18 | ||||
| Present value | $85,000 | ||||
| (Use cells A6 to B8 from the given information to complete this question.) | |||||
| Interest rate |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Making Auditors Effective Theory Evidence Perspectives
Authors: Mark Schelker
1st Edition
3832934375, 978-3832934378
