Defining future value of money

Assignment Help Finance Basics

Reference no: EM1330673

You want to bank enough money to pay for 4 years of college at $20,000 per year for your child. The savings account will pay an effective rate of 5% per year. The first annual payment for tuition and for room and board is made on your child's 17th birthday. If you deposit the money on your child's 3rd birthday, how much must you deposit?

Reference no: EM1330673

Questions Cloud

Improve shipment productivity : Consider Shipment productivity. Think of one way that you could improve shipment productivity and explain.

Explaining four functions of management : Explain how the four functions of management(plan, organize, lead, and controll) support the creation and maintenance of a healthy organizational culture.

Explain and analyzes a website : discuss the support provided to the customer during and after the purchase and discuss the fulfillment process (includes shipping) and the support after the purchase

Identify factors in the business environment : Identify factors in the business environment that will affect a bridal consultant or event

Defining future value of money : You want to bank enough money to pay for 4 years of college at $20,000 per year for your child. The savings account will pay an effective rate of 5% per year.

Advantages and disadvantages of plea bargains : Evaluate the advantages and disadvantages of plea bargaining.

Illustrate what is the expected interest rate : Illustrate what is the expected interest rate that will be charged by a bank that cannot exactly distinguish.

An alliance or joint venture with another company : What are the benefits and challenges of strategic alliances?

Explaining stewardship and servant relationship : What's interesting about charismatic leadership and the topics under it? stewardship and servant relationship.

User Account

All Pages