Evaluate what is the size of the annual payment

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Obrey will start attending college in September 2024 at which time she will need $10,000 for the first year of study. Her costs at college for the next three years are estimated at $12,000, $13,000, and $14,000 respectively. Obrey's family plans to make equal payments to a money market fund which yeilds 10%, the first payment will be paid in Spetember 2012 and the last in September 2024. What is the size of the annual payment the family must make if the fund is to supply obrey with above estimates?

Reference no: EM1343981

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