THINK LIKE AN ACCOUNTANT 31 2. What amount would he need to contribute each year to reach his goal? 3. What annual contribution would be required if his son elects to enroll in a major that requires five years of coursework? Planning for his son's college makes John realize that he needs to begin planning for his retirement. John is currently 25 years old and wants to have $1,000,000 in his retirement fund when he reaches Planning for College and Beyond John Melby wants to be sure that he has enough money to send his newborn son to college. His college of choice is estimated to cost $100.000 for a four year education, including tuition, books, room, and board. John wants to know whethera 55.000 annual contribution to a college fund will grow to $100,000 when his son enters college at the age of 18. The money would be invested in an account that is not subject to income tantas long as the money will be used to pay educational expenses X OPEN THE SPREADSHEET TLA CHOZ Answer the following Questions about the College Fund Investment: 1. John can earn a 6% annual return on the fund's investments will he nach his $100,000 10 geos Answer the Following Questions about John's Retirement Fund Investment: 4. John can earn a 5% annual return on the fund's investments, how much will he have to contribute each year to reach his goal? 5. What John waits until his son begins college to start investing in his retirement fund (age 43) How much would John have to contribute each year to reach his goal