Your younger sister, Linda, will start college in five years. She has just informed your parents that she wants to go to Hampton University, which will cost $40,000 per year for four years (cost assumed to come at the end of each year). Anticipating Lindas ambitions, your parents started investing $6,000 per year five years ago and will continue to do so for five more years. Use 10 percent as the appropriate interest rate throughout this problem (for discounting or compounding). How much will your parents have to save each year (A?) for the next five years in addition to the $6,000 they are currently saving to have the necessary funds for Linda's education Del Monty will receive the following payments at the end of the next three years: $12,000, $15,000, and $17,000. Then from the end of the 4th year through the end of the 10th year, he will receive an annuity of $18,000 per year. At a discount rate of 10 percent, what is the present value of all three future benefits?

Del Monty will receive the following payments at the end of the next three years: $12,000, $15,000, and $17,000. Then from the end of the 4th year through the end of the 10th year, he will receive an annuity of $18,000 per year.

At a discount rate of 10 percent, what is the present value of all three future benefits?