Carrie is saving money now so that she will be able to help her kids with college. She found an annuity that is paying 4% per year.

a) If she deposits $80.00 each month for the next 12 years, how much will be in the account?

b) She wants to have at least $30,000.00. How much should she deposit each month to reach her goal?

c) She decides to deposit $160.00 each month. How much will she have deposited in total without interest?

d) Instead of using annuity she is thinking of opening a savings account that also pays 4% per year compounded monthly. How much would she have to deposit (making only one deposit) today to reach her goal of 30,000 in 12 years?