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The Parks are planning ahead for their son’s education. He’s 8 now and will start college...

The Parks are planning ahead for their son’s education. He’s 8 now and will start college at age 18. How much will they have to set aside at the end of each year to have $65,000 in 10 years if the annual interest rate is 7%?

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Answer #1

pmt x ((1+r)An-1))/r Future value PMT FV((1+r) ^n-1))/r FV$65,000.00 Save each year - PMT=|$4,704.54 [$65,000/((1.07A10)-1)/0

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