You would like to give your child $100,000 to start a career 25 years from now. How much money must you set aside today for this purpose if you can earn 7.5 percent on your investments? Simple Interest - PV + PVrt FV = PV(1 + r) PV=FV/ (1 + r) r= (FV/PV)-1 PV = C APR = period rate * number of periods per year Fin 1 (1+r) PV =C 7 rv-c[4+ -] EAR = - [1+ AFR]