ather is now planning a savings program t REQUIRED ANNUITY PAYMENTS A f daughter through college. She is 13, plans to enroll at the university in 5 years, and pit hi graduate 4 years later. Currently, the annual cost (for everything-food, clothin transportation, and so forth) is $15,000, but these costs are expected to increase by 5o nn 0 tuition,books ann e college requires total payment at the start of the year. She now has $7,500 in a savings account that pays 6% annually. Her father will make six equal annual deposit into e account; the first deposit today and the sixth on the day she starts college. How large must ed of the six payments be? Hint: Calculate the cost (inflated at 5% for each year of college and d the total present value of those costs, discounted at 6%, as of the day she enters college. Then find the compounded value of her initial $7,500 on that same day. The difference between the PV of costs and the amount that would be in the savings account must be made up by the father's deposits, so find the six equal payments that will compound to the required amount