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A parent is interested in saving for college for their child. The child was college in 18 years. Currently the average cost of college is
A parent is interested in saving for college for their child. The child was college in 18 years. Currently the average cost of college is $18,000 per beginning of the year. This cost will increase 3% per year. Assume the child four years. The parent can invest in a fund that earns 7% per year from now college. If the parent begins saving at the end of the first year, and saves and the child enters college, what will be the needed anal savings payments? If the parent waits until the end of the 10^th year to begin saving. now they have to save annually for the child's college
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