s 8 A mother and father are planning a savings program to put their daughter through college. Their daughter is now 10 years old. She plans to enroll at the university when she is 18 and it should take her 3 years to complete her education. Currently, the cost per year (for tuition, etc.) is $14,000, but a 2 percent inflation rate in these costs is forecasted. The cost for each year of college will be withdrawn ul when she turns 18, 19, and 20. The daughter received $5,000 five years ago (at t=5) from her grandmother; this money, which is invested in an account earning 7 percent interest compounded annually, will be used to help meet the costs of the daughter's education. The rest of the costs will be met by money the parents will deposit in the savings account. They will make 5 equal annual deposits to the account, with the first deposit being made today on her 10th birthday and the last one being made on her 14th birthday. These deposits will also earn 7 percent interest compounded annually. How large must each deposit (from the parents) be in order to put the daughter through college? (Round cash flows to nearest dollar throughout.) 2. $4,953 b. $6,030 c. $6,453 d. $4,629 e. None of the above is within $10 of the correct answer. ele