Question
Lauren is the proud mother of a new baby girl and plans to send her daughter to college 19 years from now. Lauren wants to
Lauren is the proud mother of a new baby girl and plans to send her daughter to college 19 years from now. Lauren wants to make a deposit each summer in a special account at her bank which pays 8% (compounded annually) so that she will have enough money set aside that she can withdraw $21,000 at the beginning of each year to pay tuition, room and board, etc., for each year of her four-year education. How much will Lauren have to deposit at the end of each year in order to have enough to pay for her daughter's education? (Note: There will be 19 total deposits and the first deposit will be made at the end of one year. Also, the last deposit will be made the day before the first withdrawal: the last deposit is @ point 19, and the first withdrawal is also @ point 19)
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