Use the following info for questions 7-9. Your daughter will go to a four-year college 10 years from now. You want to make sure you have four years worth of education cost. The current annual cost of education is $ 25,000 subject to a 5% annual rate of inflation. The investment opportunity is 10% each year (compounded monthly).

Q 7. Adjusted for the annual rate of inflation, how much do you need 10 years from now? Ignore the years of 19 and after. The correct answer is closer to: a. $150,000

b. $160,000

c. $162,889

d. More than $163,000

e. Less than $150,000

Q8.How much (approximately) should you deposit each month to achieve the above financial planning goal? The correct answer is closer to:

a. Less than $700

b. between $701 and $750

c. between 751 to $780.

d. $795

e. Above $801

Q9. How long would it take for $1,000,000 to triple (become 3 times more) if the compounding rate is 10% annually? The correct answer is closer to:

a. Almost 11 years

b. 11 years

c. Less than 11 years

d. 11 years and 10 months

e. More than 12 months