& B: Investments, Returns Tuition Expenses, and Account Balances Exactly Covers College Expenses (Question B) Year Annual Savings Returns Account Balances Tuition 2023 $12,317 $985.33 $13,301.90 $ 2024 $13,055.56 $2,108.60 $28,466.06 $ 2025 $13,838.90 $3,384.40 $45,689.35 $ 2026 $14,669.23 $4,828.69 $65,187.27 $ 2027 $15,549.39 $6,458.93 $87,195.59 $ 2028 $16,482.35 $8,294.23 $111,972.17 $ Tuition Payments Begin 2029 $17,471.29 $10,355.48 $89,143.32 $ 46,903 2030 $18,519.57 $8,613.03 $63,087.52 $ 49,249 2031 $19,630.74 $6,617.46 $33,487.90 $ 51,711 2032 $20,808.59 $4,343.72 $0.00 $ 54,296 Investments, Returns, Tuition Expenses, and Account Balances (Exactly Covers College Expenses) $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 Exactly Covers College Expenses (Question B) Annual Savings -Exactly Covers College Expenses (Question B) Returns -Exactly Covers College Expenses (Question B) Account Balances -Exactly Covers College Expenses (Question B) Tuition Net Present Values of Annual Investments and College Expenses NPV of Annual Investments NPV of Tuition Expenses $113,392.68 $113,392.68 FORMULAS =NPV(B15,C27:C35)+C26 =NPV(B15,0,0,0,0,0, F32:F35) : Higher-Priced University & Higher Tuition Rate Increases Tuition Cost $35,000 $40,000 5% 6% Interest Rate 7% 8% OOOO 0 0 0 0 oooo $45,000 0 0 0