To be calculated with fpv and npv values, 22 000 is not annual fee but total of all studies.

3. Total 10% Marks: Mr. Jones wants to invest a sum now to cover his son's estimated college tuition fees. His son will commence college in 7 years' time and the fees are estimated to be $22,000 for 4 years payable from year 7 onwards. If the investment fund is estimated to return 5% annually, how much does Mr Jones need to invest today? 22*4=88000 88000=X+(0.5*7 A $55,441 B $58,213 C $61,124