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Your parents have accumulated a $160,000 nest egg. They have been planning to use this money to pay college costs to be incurred by you
Your parents have accumulated a $160,000 nest egg. They have been planning to use this money to pay college costs to be incurred by you and your sister, Courthey. However, Courtney has decided to forgo college and start a nall saion. Your parents are giving Courtney $31,000 to help her get started, and they have decided to take year-end vacations costing $11,000 per year for the next four years. Use 9 percent as the approprlate interest rate throughout this problem. Use Appendix A and ADpendixD for an approximate answer, but caiculate your final answer using the formula and financial calculator methods. a. How much money will your parents have at the end of four years to help you with graduate school, which you will start then? Note: Do not round intermediate calculations. Round your final answer to 2 decimal ploces. b. You plan to work on a master's and pemaps a PhD if graduate schoot costs $29260 per year, approximately how long will you be able to stay in school based on these funds? Note: Do not round intermediate celculations. Round your final answer to 2 decimal places
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