Rachael’s tuition, fees, and , what will they
a. If Rachael’s tuition, fees, and expenditures for books this year total $12,000, what will they be during her senior year (three years from now), assuming costs rise 4 percent annually? (Hint: Use Appendix A.1 or the Garman/Forgue companion website.)
b. Rachael is applying for a scholarship currently valued at $5,000. If she is awarded it at the end of next year, how much is the scholarship worth in today’s dollars, assuming inflation of 3 percent? (Hint: Use Appendix A.2 or the Garman/Forgue companion website.)
c. Rachael is already looking ahead to graduation and a job, and she wants to buy a new car not long after her graduation. If after graduation she begins an investment program of $2,400 per year in an investment yielding 6 percent, what will be the value of the fund after three years? (Hint: Use Appendix A.3 or the Garman/Forgue companion website.)
d. Rachael’s Aunt Karroll told her that she would give Rachael $1,000 at the end of each year for the next three years to help with her college expenses. Assuming an annual interest rate of 2 percent, what is the present value of that stream of payments? (Hint: Use Appendix A.4 or the Garman/Forgue companion website.)
"Order a similar paper and get 15% discount on your first order with us
Use the following coupon
Need assignment help for this question?
If you need assistance with writing your essay, we are ready to help you!
Why Choose Us: Cost-efficiency, Plagiarism free, Money Back Guarantee, On-time Delivery, Total Сonfidentiality, 24/7 Support, 100% originality