作业帮Time Value of money problem...HELP 怎么计算.I have two children,ages 5 and 7.If I wish to put money away beginning this year to pay for their college education,I need to identify the amount that I must save each year.Child 1 will go to college in
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Time Value of money problem...HELP 怎么计算.I have two children,ages 5 and 7.If I wish to put money away beginning this year to pay for their college education,I need to identify the amount that I must save each year.Child 1 will go to college in
Time Value of money problem...HELP 怎么计算.
I have two children,ages 5 and 7.If I wish to put money away beginning this year to pay for their college education,I need to identify the amount that I must save each year.
Child 1 will go to college in 11 years.
Child 2 will go to college in 13 years.
The annual interest rate will be 10 per cent and will be compounded annually.
I will need $25,000 per child per year of college for four years of college for each child.(Keep in mind the two years that BOTH children are in college)
How much must I put away each year beginning at the end of this year?
Compute the annual payment to be made each year so that I will have exactly covered the required amounts when the second child completes the fourth year of college.
Time Value of money problem...HELP 怎么计算.I have two children,ages 5 and 7.If I wish to put money away beginning this year to pay for their college education,I need to identify the amount that I must save each year.Child 1 will go to college in
Rate:10%
Number of payment:11,12,13,14,15,16
FV:25000; 25000; 50000; 50000; 25000; 25000;
Type:End of period
Year Cash required Annual(End) Payment required
11 25000 $-1,349.08
12 25000 $-1,169.08
13 50000 $-2,038.93
14 50000 $-1,787.31
15 25000 $-786.84
16 25000 $-695.42
Payment amount=$7,826.66