Question
(a) AJ opened an account to save for her childs education. Her goal is to have $80,000 in the account when it is time for
(a) AJ opened an account to save for her childs education. Her goal is to have $80,000 in the account when it is time for her child to go to college in 18 years. If the account earns an annual interest of 6.38% compounded quarterly, how much should Abby deposit into the account each quarter to reach her goal? (Round your answers to the nearest cent.)
She should deposit
(b) How much interest would be earned by the account at the end of 18 years?
The interest earned is
(c) Abbys child decided to take college classes while finishing high school. How much would be in the account after 15 years?
There will be
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